Skipton unveils fixed-rate deal

The fixed rate cash Isa pays 2 per cent a year over two years and 2.37 per cent for five years. The fixed rate bonds are available at 1.8 per cent over one year, 2 per cent over two years, 2.2 per cent over three years and a maximum of 2.4 per cent over five years.

Product details:

* Minimum opening balance of £500

* Isa transfers permitted

* Full withdrawals on the Isa, including transfers to other Isas are subject to 180 days loss of interest on the two-year account, and 240 days on the five-year Isa. Partial withdrawals and transfers are not allowed.

IFA VERDICT: Christopher Wicks, director of Cheshire-based Bridgewater Financial Services, said: “This rate isn’t bad at all, but you would be daft not to shop around to find an extra 0.5 or 0.6 per cent. You also have to ask whether locking up money for five years in cash is sensible. You could divide cash between shorter-term Isas so your money isn’t locked into the wrong rate when rates change.”