Building society relaunches 'popular' 5% interest savings account
The account helps customers "snowball" their savings.
Yorkshire Building Society has relaunched a popular savings account to help customers save for the festive season. The mutual's Christmas Regular Saver pays a variable interest rate of 5% and people can deposit up to £150 a month, ready for Christmas 2026.
Tina Hughes, director of savings at Yorkshire Building Society, said: “Our Christmas Regular Saver helps customers snowball their savings - starting small and building up to a festive fund that makes Christmas merry, not scary. We’re really proud to bring back this popular account for yet another year, giving people the chance to plan ahead and enjoy the season stress-free."
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Ms Hughes added: "It’s proof that saving doesn’t have to be a chore - and if you keep the habit rolling beyond Christmas, it could lead to a healthy financial future.”
The account allows for one penalty-free withdrawal day per year, or the option to close if needed. It can be opened in branches, agencies, and online.
The account matures on October 31, 2026, giving savers access to funds in time for Christmas shopping and events like Black Friday.
This year marks the fifth version of the popular account, which Yorkshire Building Society says has seen over 75,000 savers put away more than £100million to cover the cost of Christmas in the last four years.
Savers who opened a Christmas Regular saver in January 2025 saw their accounts mature with an average balance of £1,020.
It comes as research shows households planned to spend an average of £596.70 on Christmas in 2025, down from £774 in 2024. Over a third (36%) relied on credit or borrowing to fund celebrations, which will take an average of 3.5 months to clear festive debt.
Alongside festive planning, new research shows that 22% of UK adults made New Year’s resolutions for 2026, with improving financial wellbeing topping the list of spending on planned resolutions.
Individuals expect to invest around £377 on tools and services to help them save money, budget better, and plan for the future—more than any other category. Health and fitness (£257), education (£284), and wellbeing (£247) also feature strongly, highlighting a commitment to self-improvement.
While 41% believe spending money will help them stick to resolutions, almost half (48%) think it’s an unnecessary cost. With household budgets already stretched by festive spending, Yorkshire Building Society suggests that the best resolution for 2026 might be to start a simple savings habit.
Ms Hughes added: “What’s really encouraging is that our research shows financial wellbeing is a top priority for many as they head into the new year, with people planning to invest more in budgeting tools and savings strategies than any other category.
"This tells us that households are thinking long-term, not just about festive spending but about building resilience and confidence in their finances. Building a financial buffer could be the smartest way to begin the year—and avoid the stress of lingering holiday debt. Starting with a simple, structured savings habit like the Christmas Regular Saver can be the first step towards achieving those wider goals.”
