Millions of Barclays customers have been dealt a significant financial blow as the high street banking giant announces sweeping cuts to the interest rates on several of its most popular savings accounts.
Which Accounts Are Affected?
The changes will impact four separate savings products, with reductions coming into effect on two key dates in early 2026. Barclays has confirmed the specific adjustments for each account.
From January 26, 2026, the rate on the Barclays Reward Saver account will fall from 2.08% to 1.83%. On the same date, the interest paid on the Blue Rewards Saver account will be cut from 2.72% to 2.48%.
The bank's popular Rainy Day Saver will also see its rate reduced from 4.13% to 3.89%, but this only applies to the first £5,000 of a customer's balance. Any amount held above this threshold will earn a much lower rate of interest.
Further Changes in March
A fourth account, the Everyday Saver, will have its rate trimmed slightly later in the year. From March 11, 2026, the interest rate will drop from 1.05% to 1.00%.
Barclays has reminded customers that these are variable rates, meaning they can change, and that interest is calculated daily and paid on the first working day of each month. The bank also issued a standard notice regarding tax, stating that it is the customer's responsibility to declare any interest earned above their Personal Savings Allowance to HMRC.
Impact and Context for Savers
This move represents a direct reduction in the potential returns for savers who have entrusted their money with Barclays, which competes with rivals like Santander, HSBC UK, and Lloyds. For those using offset mortgages linked to a Barclays savings account, it is important to note that these accounts do not earn any interest at all.
The decision is likely to prompt customers to review their savings strategies and potentially shop around for better returns elsewhere in the market. With the cost of living remaining a concern for many households, even a small reduction in interest income can have a tangible effect on personal finances.
