Barclays cuts Rainy Day Saver rates

Barclays cut interest rates on a number of its savings accounts with effect from 11 March 2026, according to the bank's published rate tables¹. The Barclays Rainy Day Saver, which the bank says is "only available to Barclays Blue Rewards members and Premier Banking customers", now pays 3.96% AER on the first £5,000 of a balance and 0.70% AER on anything above that¹.

The Rainy Day Saver is banded, meaning the two rates apply to different parts of the same balance. The previous rates, in force from 30 October 2025 to 10 March 2026, were 4.21% AER on the first £5,000 and 0.95% AER above it¹. Barclays' own rate history shows the first-band rate has fallen steadily: 4.36% AER from 4 August 2025, 4.61% AER from 6 May 2025, 4.87% AER from 13 February 2025 and 5.12% AER from 1 September 2023¹.

Other Barclays accounts changed on the same date. The Everyday Saver pays 1.00% AER on balances of £1 and over from 11 March 2026, down from 1.06% AER². The Instant Cash ISA pays 1.00% AER, down from 1.06% AER⁴. The Personal Estate account, used to hold ISA funds until an estate is settled, also pays 1.00% AER, down from 1.06% AER⁷.

The Barclays Children's Savings account, which an adult operates as trustee for a child under 18, now pays 2.27% AER on the first £10,000 and 0.85% AER above that, down from 2.43% AER and 1.00% AER³. Barclays says interest on that account is paid gross and is normally treated as the child's income, but that where a parent gives money producing more than £100 gross interest in a tax year, it is taxed as the parent's and counts towards the parent's Personal Savings Allowance³.

All the rates listed are variable. Barclays says interest is calculated daily using the statement balance and paid on the first working day of each month¹. Interest is paid gross, and the bank notes that UK taxpayers may owe tax on interest above their Personal Savings Allowance¹. The Rainy Day Saver, Everyday Saver and Instant Cash ISA can all be offset against a Barclays offset mortgage, in which case no interest is earned on the savings¹.

Why it matters for households

The cut applies to existing holders of these accounts as well as new ones, because the rates are variable and take effect from 11 March 2026¹. A Rainy Day Saver holder with £5,000 saved earns interest at 3.96% AER rather than 4.21% AER, and any balance above £5,000 earns 0.70% AER rather than 0.95% AER¹. Everyday Saver and Instant Cash ISA holders earn 1.00% AER rather than 1.06% AER². Children's Savings balances earn 2.27% AER on the first £10,000 rather than 2.43% AER⁸.

Because the Rainy Day Saver is banded, the rate cut affects the two parts of a balance differently, and the gap between the first-band rate and the rate above £5,000 is now wider than before¹. For taxpayers, a lower rate reduces the interest counted towards the Personal Savings Allowance, which Barclays gives as £1,000 for basic-rate taxpayers and £500 for higher-rate taxpayers, with no allowance for additional-rate taxpayers⁵. Interest inside an ISA does not count towards the allowance⁴.

What happens next

No further rate changes have been reported. Barclays' rate pages list the current rates as effective from 11 March 2026 and set out earlier rates by period, with no future effective date given¹. Barclays states that rates are variable and that it can increase or decrease them for the reasons set out in its customer agreement³. Our guide to when a savings provider changes your rate explains how notice works.