Easy access account balances climb 10% as market growth continues

The average easy access non-ISA balance has risen by 10% year-on-year, as the easy access market continues its upward trajectory.

Data analysed by Paragon Bank showed that easy access non-ISA balances have increased from £9,995 to £10,989 to in a year.
 
The figures also showed that the easy access market value increased by £53.5bn last year, accounting for 97% of the savings market growth within that period.
 
While the easy access market grew from £496.5bn in January 2020 to £550bn in November, the total savings market increased by around £55bn in that time.
 
Easy access non-ISA products now account for 58% of the total savings market – which Paragon highlighted is by far the largest market share of any product type. Instant access ISAs account for 19% of the market, while fixed rate non-ISA products account for 9% of total savings. 
 
Despite this increase in average balance over the course of last year, Paragon’s analysis found that 38% of all easy access savings accounts still hold a balance of between £1 and £100. However, the number of accounts with balances under £500 has decreased in 2020, with accounts holding balances of more than £500 increasing, suggesting people have chosen to save more as a result of the pandemic.

“As the third lockdown continues, a significant number of Brits are still seeing their expenditure go down considerably as they spend more time at home, and this is leading to record breaking savings,” commented Paragon savings director, Derek Sprawling.

“However, this means that many savers aren’t receiving the most competitive rate of interest available. In fact, data shows that close to three-quarters of easy access balances now earn a rate of 0.1% or less, amounting to a total of £403bn’s worth of savings.

“Splitting funds between an easy access ‘rainy day’ fund and a fixed rate is a good solution for those looking to have access to money in the event of an emergency, while also ensuring they get a competitive rate on a portion of their savings.”

    Share Story:

Recent Stories


FREE E-NEWS SIGN UP

Subscribe to our newsletter to receive breaking news and other industry announcements by email.

  Please tick here to confirm you are happy to receive third party promotions from carefully selected partners.


NEW BUILD IN FOCUS - NEW EPISODE OF THE MORTGAGE INSIDER PODCAST, OUT NOW
Figures from the National House-Building Council saw Q1 2025 register a 36% increase in new homes built across the UK compared with the same period last year, representing a striking development for the first-time buyer market. But with the higher cost of building, ongoing planning challenges and new and changing regulations, how sustainable is this growth? And what does it mean for brokers?

The role of the bridging market and technology usage in the industry
Content editor, Dan McGrath, sat down with chief operating officer at Black & White Bridging, Damien Druce, and head of development finance at Empire Global Finance, Pete Williams, to explore the role of the bridging sector, the role of AI across the industry and how the property market has fared in the Labour Government’s first year in office.


Does the North-South divide still exist in the UK housing market?
What do the most expensive parts of the country reveal about shifting demand? And why is the Manchester housing market now outperforming many southern counterparts?



In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance, to explore how regional trends are redefining the UK housing, mortgage and buy-to-let markets.

The new episode of The Mortgage Insider podcast, out now
Regional housing markets now matter more than ever. While London and the Southeast still tend to dominate the headlines from a house price and affordability perspective, much of the growth in rental yields and buyer demand is coming from other parts of the UK.

In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance.