Tax free returns for savers from Santander

The two year fixed rate MAJOR ISA pays 4.00 per cent AER tax free. 

Plus, if Rory McIIroy wins one of the eligible golf ‘Majors' before the ISA matures, customers will earn an additional one-off bonus of 0.10 per cent tax free, paid at maturity.

The next golf ‘Major' - the US Open - starts on 14 June, so anyone who opens a two year fixed rate MAJOR ISA before this will be eligible for the bonus if Rory wins.

For savers looking for a shorter term, a one year Fixed Rate ISA offers 3.50 per cent AER tax free.

While for those who prefer instant access, Santander's Direct ISA Issue 9 offers a rate of 3.30 per cent AER tax free with a variable bonus of 2.80% for the first 12 months. It can be accessed via cash card, telephone and internet banking.

Savers can deposit their current tax year cash ISA allowance as well as transfer in previous years' cash ISA savings, making the accounts attractive for both new and existing ISA savers.

Matt Hall, Head of Savings said:

"With consumers continuing to feel the squeeze on their finances, it's even more important to save in tax free accounts.

"For those keen to make the most of their money, our popular two year fixed rate MAJOR ISA offers a great return of 4.00 per cent plus an additional one-off bonus of 0.10 per cent if Rory wins an eligible golf ‘Major'.

The one year Fixed ISA and Direct ISA Issue 9 are ideal for savers looking to save over a shorter term. All accounts allow savers to transfer in money held in ISAs from previous tax years so that they can consolidate all their ISA money in one account and earn a competitive guaranteed return."