Instant Cash ISA
Instant-access, tax-efficient ISA
Use your 2024/25 ISA allowance of up to £20,000 by 5 April 2025.
Interest rates
AER/tax-free p.a. (variable)
1.21%/1.20%
On balances over £10,000
For example, if you had a balance of £10,100 in an Instant Cash ISA, you’d earn the higher interest rate on the first £10,000 of your balance and the lower interest rate on the additional £100.
We're reducing the interest rates from 2nd December 2024
Is the Instant Cash ISA right for you?
Add up to £20,000 each tax year
Use your annual ISA allowance to top up your ISA by up to £20,000 per tax year. You can top up by as much or as little as you like.
Transfer money from an existing ISA
You can transfer an existing ISA balance, held with us or another provider, into this account.
Earn tax-free interest
You won’t pay tax on any interest your Instant Cash ISA earns.
Withdraw any time
You’ll have instant access to your whole balance and can take money out of this account any time.
Instant Cash ISA FAQs
You can open and manage your account in the Barclays app(2) or Online Banking(3). Alternatively, you can do this in a branch or over the phone.See how to apply.
ISA stands for ‘Individual Savings Account’ – it's a tax-efficient savings or investment account.
Usually, interest earned on savings account is taxable if it exceeds your Personal Savings Allowance (PSA). With an ISA, interest you earn doesn’t count towards your PSA. You won’t pay income tax, tax on dividends or capital gains tax on an ISA, so returns your ISA makes won’t be taxed. Terms, conditions and ISA rules apply.
If you have an existing ISA, held with us or another provider, and you want to transfer the balance to an Instant Cash ISA, you’ll need to give us the details of the ISA you want to move the money from. You can do this in our app and Online Banking.
In our app, go to ‘Products’ and scroll down to ‘Our services’, then tap ‘Transfer-in an existing ISA’ and ‘Get started’.
In Online Banking, select ‘Save’ in the top menu, then ‘Transfer an ISA in’ from the dropdown menu.
Alternatively, you can speak to us and we’ll help you do this.
The ISA rules changed from 6 April 2024. This means you can now pay into more than one cash ISA in the same tax year.
However, we can only let you to pay into one cash ISA with us each tax year right now. You can still open and pay into cash ISAs with different providers, as long as you don’t pay in more than £20,000 across them all.
The government sets the limit on the maximum amount you can add to your ISA accounts each tax year (6 April to 5 April). This limit is known as your annual ISA allowance and is £20,000 for the 2024/25 tax year. You can make withdrawals from this account and put the same amount of money, or less, back in within the same tax year without it affecting your annual ISA allowance. Any interest your ISA earns won’t reduce your annual ISA allowance.
You don’t have to top up an ISA with the full £20,000 – just what you can, when you can. However much you top up, any interest you earn will be tax-free. Remember, if you don’t use your ISA allowance by the end of the tax year, you’ll lose it as it won’t roll over into the next year.
You’ll earn a higher interest rate on up to £10,000, and a lower interest rate on over £10,000. This is a tax-efficient account, so you’ll keep all the interest you earn from it. To maximise your interest, you could split your savings across a combination of accounts that offer different interest rates and withdrawal options.
Remember, there are rules around withdrawing from or transferring an ISA. Our guide to ISAs can help you understand them.
If you don’t always need instant access to your money, you could explore our flexible cash ISAs and bonds.
If you're looking for an instant-access savings account that's not an ISA, you could try our Reward Saver account which rewards you with a higher interest rate in months you don’t make withdrawals. Barclays Blue Rewards members and Premier Banking customers can open our easy-access Rainy Day Saver and Blue Rewards Saver accounts too.
If you’re saving for the long term, you could explore your investment options with us. Investments may offer higher returns than cash savings in the long term.
For savings accounts, the interest rate tells you how much interest we’ll pay you for saving with us – it’s shown as a percentage of your account balance. The higher the interest rate, the more interest you’ll earn by leaving money in the account.
The returns you make on a cash ISA are tax-efficient, so you won't pay income tax on the interest you earn on this account.
Yes, you can set up a savings goal in our app and track your progress.
Any interest earned on a cash ISA doesn’t impact your Personal Savings Allowance (PSA).
Your PSA is the total amount of interest you can earn each tax year, across all your accounts (except ISAs) with any bank or building society, without paying tax. The tax year runs from 6 April to 5 April.
For basic-rate taxpayers, the PSA is £1,000 and for higher-rate taxpayers, it’s £500. Additional rate taxpayers don’t have a PSA.
You’ll need to start paying tax on any interest you earn above your PSA. Go to HMRC's site to find out how to do this.
You can read our guide to ISA rules to find out more.
Summary box
Account name
Instant Cash ISA – Issue 1
Rates are effective from 1 September 2023 to 1 December 2024.
What is the interest rate?
Balance |
Tax-free p.a. % |
AER % |
|---|---|---|
|
£1+ |
1.65 |
1.66 |
|
£10,000+ |
1.20 |
1.21 |
Rates are effective from 2 December 2024
Balance |
Tax-free p.a. % |
AER % |
|---|---|---|
|
£1+ |
1.50 |
1.51 |
|
£10,000+ |
1.20 |
1.21 |
Interest rates are banded – this means you’ll earn the higher interest rate on the first £10,000 of your balance, and the lower interest rate on amounts over £10,000
For example, if you had a balance of £10,000 in an Instant Cash ISA, you’d earn the higher interest rate on the first £10,000 and the lower interest rate on the additional £100.
Can Barclays change the interest rate?
Yes, rates are variable.
We can increase or decrease the interest rates for any of the reasons set out in your Customer Agreement (which includes the ‘Barclays and you: Terms and conditions for Personal customers’ and your additional terms).
For more details on when we might change the interest rates and the notice we’ll give you, please read your Customer Agreement, including the additional terms. You can read it online at barclays.co.uk/rca
What would the estimated balance be after 12 months, based on a £1,000 deposit and a deposit for each band of interest?
Rates are effective from 1 September 2023 to 1 December 2024
Deposit amount |
Estimated value after a year |
|---|---|
|
£1,000 |
£1,016.62 |
|
£10,000 |
£10,165.91 |
Rates are effective from 2 December 2024
Deposit amount |
Estimated value after a year |
|---|---|
|
£1,000 |
£1,015.11 |
|
£10,000 |
£10,150.83 |
The estimated value is based on no change to the interest rate over 12 months and no withdrawals being made.
How do I open and manage my account?
Open and manage your account – in our app, in Online Banking, in a branch or over the phone
Eligibility criteria – you must be 18 years or over and a UK resident
Minimum balance – £1
Maximum balance – £10 million
The minimum opening balance allowed is £0 if the Instant Cash ISA – Issue 1 is being funded by an ISA transfer-in, otherwise the minimum deposit you can open with is £1.
See how to apply.
Can I withdraw money?
Yes, you’ll have instant access to your money so you can make withdrawals.
Additional information
- Money withdrawn from your Instant Cash ISA – Issue 1 and put back into the account within the same tax year doesn’t count towards your annual ISA allowance
- Transfers-in and transfers-out from and to other ISAs are allowed
- You can offset your Instant Cash ISA in a Barclays offset mortgage. If you do this, you won't earn any interest on your savings
- We may withdraw the availability of Instant Cash ISA – Issue 1 at any time without notice. This will only apply to new accounts opened from that time.
How to apply
If you already bank with us, you can open an account in the Barclays app or Online Banking. If you don't use Online Banking yet, you can register here.
If you don’t bank with us
You can book an appointment to open an account in one of our branches. You’ll need proof of your identity and address.
Saving and investing
Both saving and investing can help you plan for the future. Our guide can help you find what suits you.
Other ways to save and invest
Important information
‘AER’ (Annual Equivalent Rate) shows what the interest rate would be if interest was paid and compounded once each year. ‘Tax-free’ means interest is exempt from UK income tax provided all ISA conditions are met. The level and basis of tax can change, and the value of tax relief depends on your personal circumstances.(Return to reference)
You need to be 18 or over to access this product or service using the app. Terms and conditions apply.(Return to reference)
Online Banking and the Barclays app are only available if you’re registered to use these services.(Return to reference)