ISA tax-free saving could deliver over £250 more than best buy easy access accounts as Atom bank launches new Cash ISA

Atom bank, the UK’s most trusted savings bank on Trustpilot, has announced the launch of its new Easy Access Cash ISA, offering savers a competitive and tax-efficient way to make their money work harder.

The Easy Access Cash ISA offers a tax-free variable rate of 4.00% AER* on new deposits. It’s easy to open via the Atom bank app, and is fully FSCS-protected up to £85,000. The product is the most requested amongst Atom’s customer base and follows the hugely successful launch of the Instant Saver Reward last October.

The launch comes amid surging demand for tax-efficient savings products, as more consumers look to shield their returns from tax and get ahead of any potential cut to the annual tax-free cash ISA limit from the Chancellor.

Tax-free saving has seen record growth, with HMRC data for the 23/24 tax year showing a sharp rise in ISA subscriptions**:

• 15 million ISA accounts were opened - the highest number in 13 years.
• £103 billion was subscribed to ISAs, marking a £31.4 billion increase year-on-year.
• Cash ISAs led the growth, rising 67% (£27.9 billion), and outpacing Stocks & Shares ISAs for the second consecutive year.

With the Personal Savings Allowance (PSA) frozen, a growing number of people are now paying tax on their savings interest. Atom’s Easy Access Cash ISA ensures customers keep every penny of the interest they earn, potentially leading to more money in their pocket, even compared to taxable savings accounts with a higher headline rate.

For example, on a £20,000 balance over 12 months***:

Account Type	Headline Rate	Taxpayer Status	Net Interest
Taxable Easy-Access	4.50% AER	Basic-rate taxpayer	£720
Taxable Easy-Access	4.50% AER	Higher-rate taxpayer	£540
Atom Easy Access Cash ISA	4.00% AER	All tax rates	£800 (tax-free)

To match the 4.00% AER tax-free return in Atom’s Cash ISA, a standard account would need to offer:

• 5.00% AER for a basic-rate taxpayer.
• 6.67% AER for a higher-rate taxpayer.
• 7.27% AER for an additional-rate taxpayer.

In effect, Atom’s Easy Access Cash ISA rate of 4.00% AER could provide up to £260 more a year than the current best buy easy access savings account, once tax is considered***, allowing customers to maximise the value of their savings.

Chris Storey, Chief Commercial Officer at Atom bank said: “Our customers have been asking us to launch a Cash ISA for a while now, and we want to bring our focus on making things faster, easier and better value to this important market.

“As the cost of living continues to be a concern and Christmas on the horizon, people are rightly focused on making their money work harder. With the Personal Savings Allowance being frozen, the tax drag on returns has never been more evident.

“Our new Easy Access Cash ISA reflects Atom’s customer-first approach, by offering a competitive and easy-to-use product that empowers people to keep more of their hard-earned interest. With the Budget on the horizon and speculation around potential changes to the annual tax-free allowance, now is a critical time for savers to get ahead and maximise their tax-efficient savings.”

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Notes to editors

Tax free means you won’t pay UK Income Tax on the interest you earn from this account. ISA rules, T&Cs and eligibility apply. Must be 18+ and a UK resident.

**The rate is variable, meaning it can go up and down. This is not a flexible ISA, meaning once funds are withdrawn, you can’t put it back in without using more of your ISA allowance. You currently can’t fund your Atom Cash ISA via an ISA transfer from another provider.

Further product information available here: https://www.atombank.co.uk/savings/isa/easy-access-cash-isa/

**HMRC Annual Savings Statistics (Sept 2025)

3**Calculation notes: based on £20,000 balance assuming no change in variable rate; assumes current PSA thresholds (£1,000 for basic, £500 for higher, £0 for additional-rate taxpayers) and that the PSA has been fully used and therefore tax rate applied to the total interest value. 4.50% AER easy access best buy as per Moneyfacts 04/11/25

For Atom

Robbie Steel, (robbie.steel@atombank.co.uk) 07538 775 701 Jen Shepherd, (jen.shepherd@atombank.co.uk)

About Atom bank

Atom bank is the UK’s highest rated bank on Trustpilot, and is on a mission to make the experience of borrowing and saving faster, simpler and better value than anyone else. The bank launched operations in April 2016 as the UK’s first app-based bank, and offers award-winning mortgages and savings through its app, alongside secured business lending for small and medium-sized enterprises. Based in the North East of England with a team of nearly 600 people, Atom is here to ​​change banking for the good, for the better, and for everyone. This means focusing on customers’ needs, delivering better value than the incumbents, providing an exceptional app-based experience and offering award-winning customer support via phone, chat, email and social channels. The bank has some of the best customer service credentials in the UK, having achieved 5-star ratings on both the iOS and Android App Stores, whilst consistently delivering Net Promoter Scores (NPS) in the high 80s. Based in Durham, Atom is an engaged and active member of the North East Community. In 2022 Atom signed a five-year Memorandum of Understanding with Durham University to progress key research and diversity initiatives. The region has one of the highest levels of youth unemployment in the UK and Atom is passionate about addressing the critical digital skills gap and helping develop young people and other groups that are under-represented within the industry. In 2024, Atom purchased 25 acres of newly planted broadleaf woodland in Northumberland to sequester 7000 tonnes of carbon, which will account for all its operational emissions since founding. This forms part of the bank’s pledge to be climate positive by 2035, becoming the first UK bank to make this commitment. As of November 2021, all employees enjoy a four-day working week, after Atom became the largest company - and only bank - in Britain to introduce the policy for all employees, with no reduction in salary. The Atom executive team are highly experienced, having built and run some of the most well-respected banks in the UK. CEO Mark Mullen has 30 years’ experience in the sector and was previously CEO at the multi- award-winning telephone and internet bank first direct. The team is supported by a strong non-exec board, chaired by Lee Rochford.