The ISA season has started early this year according to Moneyfacts.co.uk, as many providers have already launched new deals.

Since the beginning of the year, new and revised products have already been unveiled by Santander, Alliance & Leicester and The Post Office, amongst others, as it appears providers are keen to attract savers early.

Traditionally – according to Moneyfacts.co.uk, the ISA season starts to gather pace in mid February in preparation for the new tax year that begins on April 6.

However, new research by the personal finance information provider has revealed that the number of fixed rate ISA deals on offer has more than doubled since last year from 39 to 84.

Meanwhile, 68 per cent of all fixed rate ISAs currently available are for terms of two years, with Moneyfacts.co.uk suggesting that providers are now listening to savers’ demands for short term commitments.

Commenting, Michelle Slade, spokesperson for Moneyfacts.co.uk said: “As the new ISA season gets underway, savers will be hoping that this year will be as competitive as ever, bringing with it increasing rates.

“Demand for savers’ money caused rates to rise during most of 2009, but with restrictions on how much can be invested, ISAs rates showed limited benefit.”

However, Ms Slade claims “the tide has turned” with ISA rates beginning to increase as other savings rates are being cut.

In addition, she believes the increased ISA allowance, which is set to be opened to all savers from the start of the new tax year, will offer an added boost for savers.

She added that the tax free element of an ISA provides a “real incentive to savers” and is the reason they remain many savers’ “first port of call”.

© Fair Investment Company Ltd