Savers 'losing £416' as they're told to 'take action' with HMRC deadline this weekend

Savers 'losing £416' as they're told to 'take action' with HMRC deadline this weekendDoing nothing is costing people moneyCommentsMoneySteven Smith Content Editor10:55, 04 Apr 2026View 3 ImagesISAs are tax-free, but that's not the end of it(Image: designer491 via Getty Images)Loyal cash ISA savers have been consistently penalised by holding their cash in closed accounts that trail behind the highest rates by more than two per cent, new research from Moneyfacts has found. Financial experts said cash ISA savings are too often neglected and need active management, much like investments.‌Currently, savers are missing out on £416 a year by keeping their £20,000 cash ISA allowance in the average closed easy access ISA account at 2.49 per cent compared to the top deal, which pays 4.57 per cent. The alert comes as the current tax year ends on Sunday, April 5, and ISA allowances reset on Monday.‌Caitlyn Eastell, personal finance analyst at Moneyfactscompare.co.uk, said: “Millions of savers could be missing out on hundreds of pounds each year by leaving their money in older, underperforming cash ISAs instead of switching to the most competitive accounts on the market. While interest rates have risen significantly in recent years, many loyal ISA customers have been consistently penalised by holding their cash in ‘closed’ accounts that trail behind the most competitive accounts by over two per cent, reflecting a wider trend where the most competitive rates are often reserved for new customers.‌"Providers will often prioritise higher rates for new customers as a way to attract fresh deposits to help manage costs or fund future lending. Currently, someone with £20,000 in the average closed easy access ISA account is earning just £498 in a year, compared to £914 they could be earning in the top easy access cash ISA.View 3 ImagesISA allowances rest on Monday(Image: Laurence Berger via Getty Images)"The incentive to switch quickly becomes clea...