- The Metro Bank Instant Access Cash ISA currently offers a rate of 0.90% AER/tax-free.
- Interest on this account is paid annually.
- You can open a Metro Bank Instant Access Cash ISA from £1 and can withdraw money from this account at any time with no penalty.
What is an instant
Cash ISA?
What is an Instant Cash ISA?
An Instant Cash ISA is a UK savings account that lets you earn tax-free interest while giving you instant, penalty-free access to your money.
Is this account it right for me?
A Cash ISA is ideal if you want a flexible way to grow your savings and fully benefit from your annual tax-free allowance.
How to research and compare Cash ISA accounts
Tips for comparing Cash ISAs
Choosing the right Cash ISA means finding one that fits your savings style and helps you maximise your tax-free allowance. Keep these tips in mind:
Don’t limit yourself to high street banks. Online banks, building societies, and fintech apps can offer more competitive rates. Compare their features, accessibility, and interest options.
Even “instant access” ISAs can have restrictions on withdrawals or minimum deposits. Read the fine print carefully, as withdrawals can affect your annual ISA allowance.
Bonus or introductory rates may be tempting, but they’re often temporary. Focus on the standard rate and how long the promotion lasts to understand your long-term returns.
Financial calculators can show how your savings could grow. Try our Interest Rate Calculator to explore different deposit amounts and rates.
Is it worth having a Cash ISA?
An instant Cash ISA can be a smart way to grow your savings while keeping them accessible. But, like any other financial product, it’s worth weighing up the benefits and drawbacks before you decide.
Advantages
Tax-free growth:
Earn interest without paying UK income tax, helping your savings grow faster and more efficiently.2
Instant access:
Withdraw money anytime without penalties, ideal for unexpected expenses or changing goals.
Flexible saving:
Save at your own pace, whether through regular deposits or occasional lump sums.
Plenty of choice:
From high street banks to app-based fintechs, there’s a variety of accounts with competitive rates, features, and easy access.
Disadvantages
Generally lower rates:
Instant Cash ISAs usually offer less interest than fixed-rate or notice accounts, as they prioritise flexibility and immediate access.
Annual contribution limits:
You can save only up to the yearly ISA allowance (£20,000 for 2025/26), which may limit larger deposits.
Possible withdrawal restrictions:
Some accounts limit the number of withdrawals or reduce your interest rate if you access your funds frequently.
Variable interest rates:
Rates can change at any time, so your earnings may increase or decrease.
People also ask
Common Cash ISA questions
With competitive rates now available, it can be just as rewarding as other savings accounts while protecting you from future tax changes. It’s a simple, secure way to make the most of your money.
They remain a popular, government-backed way to save tax-free, and current proposals only look at adjusting allowances, not removing them. For savers, they’re still a secure and future-proof option.
