Union Bank of India (UK) Ltd. are committed to keep you informed about changes to your account.

At the moment for all taxpayers (except those persons who have supplied R85 or R105 appropriate forms) we deduct tax, on the interest you earn before we pay into your account.

From 6 April 2016, all Banks, Building Societies and other Institutions that deduct tax on the interest they pay, under the Tax Deduction Scheme for Interest (TDSI) including Union Bank of India (UK) Ltd will no longer be required to do this.

On 6 April 2016 a tax-free Personal Savings Allowance (PSA) will be introduced for savings income (such as interest) paid to individuals. Broadly, this means that basic rate taxpayers will be able to receive £1,000 of savings income, and higher rate taxpayers can receive up to £500 of savings income, without any tax being due. The PSA will not be available to any saver with additional rate income.

Any interest you earn above PSA will be subject to tax and it will be your responsibility to declare this to HM Revenue and Customs (HMRC). Further information can be found on the HMRC website by following the link below.

https://www.gov.uk/government/publications/personal-savings-allowance-factsheet/personal-savings-allowance