Nuwealth launches easy-access saving deal with a top 5.11% rate linked to its investment account

Nuwealth has launched a new combined saving and investing offer which it says will help to boost investing while also offering shorter term growth.

The 'Save & Invest Together' offer gives users access to a 5.11 per cent interest rate on their savings for a 12-month period.

However, in order to qualify, users must also invest £1,000 in a general investment account with the firm by 4 July, alongside opening a Nuwealth savings account.

The offer is also open to existing customers who open a general investment account with the qualifying deposit.

NuWealth is part of Quilter - and it says this will allow users to benefit from interest growth now, but also see their investments grow over the long term.

The 5.11 per cent rate offered by NuWealth includes a 1.25 per cent fixed bonus for the 12-month period, available on deposits of up to £5,000.

To receive the 1.25 per cent fixed bonus, savers must maintain at least £1,000 in their general investment account for a 12 month period.

Kane Harrison, chief executive of Nuwealth, said: 'For many, stepping into investing can feel daunting. Our 'Save & Invest Together' offer makes that first step easier – offering an enhanced savings return while helping customers build long-term wealth.

'There's a growing recognition, from the government and beyond, that investing is key to financial security. At the same time, we know savers want the flexibility of cash savings. This offer bridges that gap, delivering the best of both worlds.'

Recent figures from the Bank of England revealed that savers ploughed some £14billion cash savings into cash Isas in April alone.

However, investing has historically proven to provide better returns over the long term.

Harrison added: 'While investments can go down as well as up, history shows that those who invest for the longer term, at least three to five years, are more likely to beat inflation and grow their wealth. With this innovative offer, NuWealth is making it simpler and more rewarding for customers to start their journey.'

The Government has pledged to 'kickstart economic growth' in the UK, part of which includes boosting investing in UK equities.

Read More

Harrison added: 'With Labour's focus on getting more people investing and building wealth through capital markets, now is the ideal time to make that first step.

'Encouraging broader participation in investing is vital for long-term financial resilience, and initiatives like ours aim to make that journey more accessible and rewarding for all.'

Labour is set to launch a review on cash Isa allowances within weeks and will consult with financial services companies on potential changes to the Isa system, as part of its bid to drive UK investing.

In the Spring Statement, the government said it would consider making changes to the current combined £20,000 allowance in order to 'get the balance right between cash and equities to earn better returns for savers, boost the culture of retail investment, and support the growth mission.'

Earlier this year, rumours had abounded that the Government would slash the cash allowance to as little as £4,000 per year.

Nuwealth, formerly called Wombat Invest, was acquired by asset management firm Quilter last year. At the time, Quilter said it planned to 'evolve NuWealth to work with advisers to help them support clients at the start of their investing journey.'

Quilter added: 'It will be particularly beneficial for people starting to invest who are looking for additional help and guidance.'

Money in the savings account is placed in partner bank GB Bank - and it is protected under the Financial Services Compensation Scheme to the tune of £85,000.