Around 4.4 million Nationwide members are receiving a £100 Fairer Share payment – but there could be tax implications
Nationwide has started making its Fairer Share payments
Nationwide Building Society has confirmed it has already distributed its latest round of Fairer Share payments to over four million eligible members. The most recent Fairer Share payments, totalling approximately £440 million and reaching around 4.4 million eligible Nationwide members, are being issued from June 10.
However, the payments could carry tax implications for certain individuals. Nationwide warned that some people may face income tax liability on the payment, depending on whether their total interest received during the tax year exceeds their personal savings allowance (PSA).
The PSA permits individuals to earn interest tax-free up to specific thresholds. The allowance enables basic rate taxpayers to earn £1,000 in tax-free interest each tax year, while higher rate taxpayers can earn £500 tax-free.
Nationwide explained that the Fairer Share payments are classified as interest for UK income tax purposes. The building society is not obliged to deduct any tax from the payment, but will report it to HM Revenue and Customs (HMRC).
The Society advised that anyone uncertain about their position should obtain their own tax guidance. Nationwide has set itself a deadline of 30 June to complete the outstanding payments, reports Lancs Live.
Fairer Share is distributed to eligible members who use Nationwide for their day-to-day banking, while also holding qualifying savings or mortgage products. This year’s payment was revealed by Nationwide in May. Stephen Noakes, Nationwide’s retail director, said: “We’ve made strong progress with this year’s Fairer Share payment, surpassing four million payments on the first day.
“We’re pleased to be able to reward eligible members with £100 for the fourth consecutive year, reflecting Nationwide’s strong financial position.”
Nationwide has been distributing its Fairer Share Payment since 2023, with all payments dependent on the building society’s financial strength and requiring Board approval.
