Tom Riley, the director of Banking and Savings at Nationwide Building Society, outlined why the financial institution is choosing to hike the rate on its ISAs at this moment in time.

Mr Riley explained: “ISAs remain an important product for many savers, as interest earnt on a cash ISA doesn’t count towards your Personal Savings Allowance.

“Our new Triple Access Online ISA will offer a market-leading rate from a brand savers know and trust.

“For those who want to save outside of an ISA, we are also increasing the rate on our Triple Access Online Saver.

“We like to give savers a choice of fixed rates, which is why we are also launching a new range of one, three and five-year fixed rate products.”