Skipton Building Society is the first UK financial services provider to launch a Cash Lifetime ISA (LISA) for savers. The LISA can be opened online with as little as £1, earning annual interest at a rate of 0.50%. Those who open a Cash Lifetime ISA and then take out a mortgage with the Society will be provided with £250 cashback in addition to Skipton's existing mortgage offers.
Skipton Building Society will launch the UK's first Cash Lifetime ISA product to the public on Thursday 8 June at 9am, providing UK savers with more help to get a foot on the property ladder.
The Cash Lifetime ISA can be opened online with as little as £1, earning annual interest at a rate of 0.50%. As the only Lifetime ISA provider with a high street presence, Skipton's team of experts are on-hand to help savers with their application so they can make the decisions that are best for them.
First-time buyers who decide to take out a mortgage with Skipton (direct or via intermediaries) will also receive £250 cashback in addition to Skipton's existing mortgage offers.
The extra government bonus from the Lifetime ISA will help first time buyers on their journey towards buying a home. For example, a 25 year old maximising the product's annual allowance for eight years will have an estimated pot of £40,776.53 by the age of 33, an amount higher than the average first-time buyer deposit.
Kris Brewster, Head of Products at Skipton Building Society, comments:
"As a mutual, we've been helping first time buyers and savers for over 160 years. The Lifetime Cash ISA could make a real difference to a new generation of savers by assisting them in getting a foot on the property ladder. That is why we're excited to offer a product that will encourage future homeowners to save towards this significant milestone.
"There isn't a one size fits all approach to saving so it's important people pause to think about their future and have a range of long-term options in mind – as well as reviewing these plans on a regular basis.
"As a building Society, our purpose has always been to support people in planning and preparing for their life ahead. And being the first in the UK to give savers more choice with the Cash Lifetime ISA, this is another way of us continuing that commitment."
Skipton's Lifetime Cash ISA will be available to all savers from 8 June. Savers can split their £20,000 ISA allowance across a range of different Skipton products and make the Lifetime ISA a part of their wider savings portfolio.
Given the strong interest in the product, Skipton launched an online register on skipton.co.uk for people to receive an update when the product launches. As a result, the Society will be offering the product exclusively to those on this registration list from today through to Wednesday 7 June. Everyone who registered will receive a personal invitation from the Society over the next two days giving them early access to the product.