Aviva launches new cash savings platform with Raisin UK

By Megha Bhattacharya

Aviva today announced the launch of a new cash savings platform Aviva Save in a bid to offer customers a choice of different savings accounts from a variety of banks. Aviva has partnered with savings platform Raisin UK, enabling it to offer its customers a selection of fixed-term savings accounts with a number of banks. FinTech Raisin leveraged its Savings as a Service technology to launch Aviva Save, allowing the pension and investments specialist to enter the cash savings market for the first time in the UK.

Roger Marsden, Managing Director, Retail Savings and Retirement said, “…Whilst many savers may be frustrated with the low returns they’ve received on their savings during lockdown, the effort involved in moving their money around is often a barrier to them and stops them doing anything at all. This can lead to a general apathy amongst savers to switch, despite there often being more competitive rates available. Aviva Save will address this by offering customers a range of accounts and rates over time, so they can manage their finances and switch between accounts easily.”

“Our own research showed that more than half (57%) of people took action in relation to their savings during the last lockdown and, during these uncertain times, they will want to make sure their finances and savings can meet their longer term goals, as well as their more immediate needs. Lockdown has meant lifestyle and spending habits have changed, and they will continue to change throughout 2021. It is more important than ever that customers take a broader view of their finances and their savings, and shop around for the best option to meet their needs.”

Aviva Save will enable customers to open and switch accounts, from a range of banks, without having to re-register multiple times with different providers. The cash savings products can also be used to complement Aviva’s longer term savings vehicles, such as ISAs and pensions.

The launch follows The Bank of England’s Monetary Policy Report in February outlining that “households have accumulated an excess stock of savings of £125 billion” throughout the pandemic, equating to an average of £5,000 per household. The Bank of England expects this figure “to rise substantially over the first half of 2021”.

Katharina Lueth, VP of Europe for Raisin and Chairwoman of Raisin UK, commented, “The launch of Aviva Save with Raisin represents a significant step in the future of deposits and the fintech industry. In December, flows into deposit accounts within the UK savings market rose to £20.9bn, an increase from an already high £18.4bn in November. As a result, the Bank of England estimates that there is almost £1.6tr in household cash deposits – with a worrying £225bn sitting in non-interest bearing deposits3. Partnerships like this demonstrate the increased importance of finding new ways to provide customers easy ways to access higher interest rates and optimise their savings.”