HSBC UK has launched a spring cash ISA incentive offering up to £500 cashback for customers who deposit or transfer new funds. The offer runs from March 9 to May 11 and is available to new and existing customers who add at least £20,000 into an eligible cash ISA or stocks and shares ISA.
The tiered incentive rewards deposits of £20,000 to £49,999 with £150, £50,000 to £99,999 with £250, and £100,000 or more with £500. The payment is made into the customer's HSBC current account, subject to terms and conditions.
Personal finance expert Andrew Hagger of Moneycomms.co.uk noted that the period from March to May is typically when providers compete for cash ISA balances, and this year the competition could be even fiercer due to recent rises in swap rates. He expects 'best buy' rates to heat up in the coming weeks.
Currently, savers can put up to £20,000 annually into cash ISAs, stocks and shares ISAs, or a mix. However, from April 2027, the annual cash ISA limit will be cut to £12,000, with only over-65s retaining the full £20,000 allowance. The overall ISA contribution limit remains £20,000, potentially encouraging savers to shift to stocks and shares.
Alastair Douglas, chief executive of TotallyMoney, urged savers to shop around and read terms and conditions carefully, as some providers penalise early withdrawals. He suggested considering easy access accounts for flexibility, and also lifetime ISAs and stocks and shares ISAs, but advised doing research first.
