We pass on Base Rate increase to all existing variable rate savers

Following the decision by the Bank of England on 3 February to increase the Base Rate from 0.25% to 0.50%, Recognise Bank passed on the full 0.25 percentage point increase to all its existing personal savings customers with variable rate accounts.

Recognise also passed on the full 0.15 percentage point increase to its variable rate savers in December 2021 when the Bank of England raised the Base Rate for the first time in over three years.

The new rates are:

  • The 95 Day Notice Account, Issue 1, will rise from 1.25% AER to 1.50% AER
  • The 95 Day Notice Account, Issue 2, will rise from 1.10% AER to 1.35% AER
  • The 95 Day Notice Account, Issue 3, will rise from 0.85% AER to 1.10% AER
  • The 35 Day Notice Account, Issue 1, will rise from 0.75% AER to 1.00% AER

The new challenger bank only entered the personal savings market in September, promising to offer savers competitive rates and fairness, especially as so many of the mainstream banks are offering low rates, with hardly any of them passing on the Base Rate rise in December.

Damian Trussler, Head of Savings at Recognise Bank, said: “After several years of paying extremely low interest rates on their accounts, it doesn’t seem fair that providers aren’t passing on the Base Rate rise to hard pressed savers.

“We are likely to see more Base Rate hikes from the Bank of England this year, and with so many consumers facing a hit on their wallets from spiralling prices, savers need to vote with their feet if they are not getting a fair rate from their bank or building society.”

Steve Pateman

Steve has had an extensive executive career in banking, leading corporate and commercial banking businesses at RBS/NatWest, managing Santander’s UK banking businesses and as CEO of Shawbrook Bank, Hodge Banking Group and most recently successfully leading the banking licence application for StreamBank.

He is a non-executive Director at Bank of Ireland both in the UK and Dublin and Thin Cats, a specialist SME lending business and is retained as an advisor to Black Lion Ventures. He was previously President of the Chartered Banker Institute.

Steve took up the role of Chair (subject to regulatory approval) at Recognise Bank in November 2024, having served as an Investor Non-Executive Director since January 2024.