The new Digital Regular Saver account offers an interest rate of 3%.

It is designed to help customers with little or no savings develop a savings habit and unlike other regular savings accounts does not expire after a year.

The account is more flexible too, allowing for withdrawals to be made without the need to close the account. Customers will be able to save between £1 to £50 a month and will need to set up a standing order at account opening. Interest is paid monthly with the top rate of 3% interest paid on balances of up to £1000.  

In the months following the initial COVID-19 lockdown over 400,000 customers grew their savings to £100 or more for the first-time. The bank is aiming to help an additional 2 million customers to start saving by 2023 and increase financial capability.

Lewis Broadie, RBS savings expert, said: “During lockdown, many of our customers started to save for the first time. We are introducing the new Digital Regular Saver to help our customers start and maintain a long-term savings habit which will help them to become more financially secure.”

The new Digital Regular Saver Account can be opened through the Royal Bank of Scotland mobile app or online here.