Search for a Savings Account | moneyfacts.co.uk

Whole of Market Savings Account Comparison

  - Want to decide for yourself which savings account is the best? Don’t worry – use our Savings Comparison tool to find all the best UK savings accounts.
 

  • What type of account are you looking for:
    Fixed Rate Bonds
    Easy Access/Notice Accounts
    Fixed Rate ISAs
    Easy Access/Notice ISAs
  • Account Holder:
    Age:
    Investment: £
    How do you want to save:
    Interest Paid:

Searching all 1768 savings products, the results will include all available savings accounts that meet your search criteria,
with those we have arranged apply links for to be shown first. To reorder the columns, simply click on your preferred column heading.

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Up to 3 products
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AER Account Type Notice / Term Interest Paid Account Opening Apply Today

2.43%
Fixed 60 Month Bond On Maturity (Compounded Annually)
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.41%
Fixed 48 Month Bond On Maturity (Compounded Annually)
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.38%
Fixed 36 Month Bond On Maturity (Compounded Annually)
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.31%
Fixed 30 Month Bond On Maturity (Compounded Annually)
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.31%
Fixed 3 Year Bond Anniversary
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.30%
Fixed 24 Month Bond On Maturity (Compounded Annually)
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.30%
Fixed 3 Year Bond Anniversary
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 

2.26%
Fixed 3 Year Bond Anniversary
  1. Yes
  2. Yes
  3. No
  4. No
Details...
Go to Site
 

2.26%
Fixed 5 Year Bond Anniversary
  1. Yes
  2. Yes
  3. No
  4. No
Details...
Go to Site
 

2.25%
Fixed 5 Year Bond Monthly
  1. Yes
  2. No
  3. No
  4. No
Details...
Go to Site
 
Now showing 1 to 10 of 1167 results

Eligible deposits with UK institutions are protected by the Financial Services Compensation Scheme up to a maximum level of protection of £85,000 per person per institution.

Disclaimer:
All rates subject to change without notice. Please check all rates and terms before investing or borrowing.
 

On this page:

  1. What is a savings account?
  2. What is an interest rate?
  3. Types of savings accounts available
  4. Are my savings protected if the bank went bust?
  5. How are my savings taxed?
  6. How to compare savings accounts in the UK
  7. FAQs

What is a savings account?

A savings account is a place to store your money and earn interest from it. In essence, you’re earning money from the money you’ve already got, and will see it grow in value over time.

There are thousands of different savings accounts available through banks, building societies and smaller – and increasingly online – savings providers, so you’ve got plenty of options when it comes to deciding where to put your money. It’s a decision that will likely be based on several different factors, but one of the most important is undoubtedly interest rate.

What is an interest rate?

The interest rate refers to how much a provider will pay you for keeping your money with them. So, if the interest rate is 2% and you’re saving £10,000 for a year, you’ll earn £200 in interest from the provider after 12 months. This can then be added to your pot and you can begin to earn interest on that amount as well as your initial investment, which is how your savings pot grows. This is known as compounding.

When you compare savings accounts, you’ll likely come across two ways the interest rate is referred to:

  • AER. The Annual Equivalent Rate (AER) is the rate that providers have to use in advertising for savings. It shows how much interest you’d earn (before tax) if you kept the account for a full year, factoring in compound interest and bonuses as well as how often interest is paid. Because of this, the rate can be higher than the gross rate, but is a truer reflection of the amount that can be earned.
  • GROSS. The gross rate refers to the amount of interest you can earn before tax is deducted, though with the advent of the Personal Savings Allowance (see below – How are my savings taxed?), all interest is now paid gross anyway. It’s a basic measure that doesn’t take into account things like compound interest or bonuses of less than 12 months, so the AER is usually the better method for comparison.

Remember: the interest rate you earn will determine how much your savings pot grows over time, so it makes sense to get the best savings account interest rates possible. Some accounts pay more than others, with this often determined by the type of account and the provider who’s offering it.

Typically, accounts that let you access your money quickly will pay a lower rate than accounts that ask you to lock your money away, and you’ll often find that so-called challenger banks pay higher rates of interest than high street banks. This is why it’s so important to compare savings interest rates thoroughly, to be sure you’re finding the best savings accounts for your needs.

Types of savings accounts available

Easy access accounts

  • Typically offer a variable rate - so can change at short notice
  • Lower interest rates than fixed rate bonds and other more restrictive accounts
  • Flexible - can be added to and withdrawn from at your leisure
  • Great for an emergency fund
  • Watch out for withdrawal restrictions

An easy access account will allow you to add to your savings pot and withdraw funds as you wish, and can often be opened with a small initial investment. They’re the most flexible type of account and can be ideal for an emergency fund, or for those just getting into a savings habit and therefore aren’t too sure how much they can commit. Some have restrictions and withdrawal limits, however, so make sure to check the small print.

They typically pay variable savings interest rates, which means the rate can change at short notice; as such, you’ll want to check the rate you’re receiving on a regular basis, and make sure to be on the lookout for communications from your provider to be aware of any changes. Bear in mind that these accounts often pay lower rates of interest than their less accessible counterparts because of the level of flexibility, but for many, they’re ideal.

Easy access bonus accounts

  • Typically offer a variable rate - so can change at short notice
  • Lower interest rates than fixed rate bonds and other more restrictive accounts
  • Flexible - can be added to and withdrawn from at your leisure
  • Great for an emergency fund
  • Watch out for withdrawal restrictions
  • Comes with a guaranteed bonus element
  • Remember to review the account towards the end of the bonus period to ensure you’re still getting a good deal

You can generally find two types of easy access account – those that come with a bonus, and those that don’t. With a bonus account, the rate includes a short-term bonus element, typically for 12 months, which means you can get an enhanced rate for the first year.

However, this also means you need to be vigilant to ensure that, when the bonus expires, you’re still getting a good deal. Conversely, the advantage of a bonus account is that the bonus element is typically fixed, so even if the variable rate part drops over the term, you can still be confident in getting a minimum amount.

Notice accounts

  • Variable rate
  • Typically pay higher savings interest rates than easy access, but lower than fixed rate bonds
  • Can add funds whenever you wish
  • You'll need to give the required notice period before you can access your cash, or forfeit some interest if you need earlier access (if allowed)

Notice accounts are similar to easy access in that they typically allow you to add funds whenever you wish, but they’ll require you to give notice to your savings provider before you can access those funds. It’s for this reason that they tend to offer better rates than easy access accounts, though they again tend to pay variable rates of interest.

The amount of notice required can vary wildly – some accounts may only ask you to give a month’s notice, whereas others can require three months or more, with different savings interest rates being paid accordingly. Some accounts will let you bypass the notice period and access your cash instantly, yet this will often be subject to a loss of interest penalty, generally in line with the number of days’ notice you were supposed to give.

It’s for this reason that notice accounts aren’t best suited to emergency funds, but if you’re not comfortable with a fixed rate commitment, they could offer a suitable compromise between rate and flexibility.

Fixed rate bonds

  • Fixed rate of interest paid over a set period of time
  • Guaranteed returns
  • Higher rates of interest than easy access accounts - typically pay the best savings account rates, second only to regular savers
  • Terms typically range from one year to five+ years
  • Usually don't allow further additions or withdrawals
  • Great for those with long-term savings goals and a lump sum to invest

Fixed rate savings bonds pay a fixed rate of interest for a set amount of time, the benefit being that you’ll know exactly how much you’ll earn over the length of the term. The rate is guaranteed, unlike with a variable rate account, offering that extra level of security.

Fixed bonds can be taken out over a variety of terms, typically ranging between one and seven years, but there can be variations either side of that. You’ll be required to lock your money away for the full length of the fixed term with access rarely possible – some bonds allow withdrawals, but will usually charge an interest penalty for the privilege – and you generally won’t be able to make further additions after the initial deposit.

The trade-off is that rates tend to be far higher than with more accessible accounts, so for those with a lump sum they don’t mind losing access to, a fixed rate bond could be ideal.

Regular savings accounts

  • Save a set amount of money each month
  • Can be variable rate or fixed
  • Often pay the highest savings rates, but have low investment limits
  • Great for short-term goals
  • May not be able to access your money before the end of a set term
  • May penalise you if you miss a payment

Regular savings accounts allow you to save on a regular basis, and generally offer the highest rates of interest among cash savings accounts. You’ll be required to make a deposit each month, usually for 12 months, and there are restrictions in how much you can save (you won’t be able to squirrel away a lump sum, for example).

These accounts can have a variable or fixed rate, and most won’t allow you to access your funds before the end of the term. Many will also penalise you if you miss a monthly payment, though some are more accessible and not quite as strict. They’re best-suited to those who want to get into a savings habit or have a short-term goal in mind, and if you’re after the best savings interest rates in the UK, they’re hard to beat.

Monthly interest

  • Pay interest on a monthly basis rather than annually
  • Can be used to supplement your income
  • Can be variable rate or fixed
  • Typically pays lower gross rates than yearly accounts
  • Great for those with a healthy savings pot

Monthly interest savings accounts are exactly as they sound – they’re accounts that pay interest monthly, rather than the typical annual arrangement. For this reason, they may be perfect for those who have a significant savings pot and want to supplement their monthly income using their savings, without spending the capital.

Monthly interest accounts are commonly variable rate (typically easy access or notice accounts), but you’ll occasionally be able to find versions of fixed rate bonds that pay interest on a monthly basis as well. The gross interest rate on a monthly account tends to be slightly lower than that of an annual interest version – the AER will depend on whether this interest in compounded or paid away as income – and if you want to take an income, you’ll need to make sure your chosen account allows the interest to be paid away, rather than compounded in the account.

Children’s savings

  • Typically available for children up to the age of 18
  • Can be fixed or variable rate
  • Potential tax implications for parents
  • Junior ISAs can't be accessed until the child turns 18, and ensure that all savings interest remains tax-free until then

There are a range of savings accounts available that are designed specifically for children, which can be a great way to get children into the savings habit and help teach them the value of money. Many pay impressive savings interest rates and often come with added incentives (such as a moneybox) to give fledgling savers a little bit extra.

Much like with adult accounts, there are different child saver accounts to choose from, ranging from variable rate instant access accounts to fixed term bonds, and even regular savings accounts. In most cases, interest earned from children’s savings accounts will be tax-free, although there may be tax implications for parents who save large sums for their children.

Sharia’a compliant

  • Pays an expected profit rate rather than interest, in line with Islamic law
  • Money will be invested in line with Islamic principles
  • There's a chance you won't receive the expected profit rate

Sharia’a compliant accounts are based on Islamic principles, whereby the charging (or earning) of interest is prohibited. As such, they pay an expected profit rate rather than a set rate of interest, though in practice the expected profit rate is usually paid.

Aside from that, they offer the same kind of facilities as mainstream offerings – and given that these accounts typically come from smaller or challenger banks, they often boast higher rates of interest than high street deals. These accounts can also be ideal for those who want to invest ethically – they’ll use your money to generate profits through ethical investment, rather than lending it out and charging interest, and it won’t be involved in anything that goes against Islamic principles (so your money won’t be invested in tobacco, alcohol or gambling, for example).

Cash ISAs

  • Save up to a set amount each year (known as the annual ISA allowance, which for 2018/19is £20,000)
  • Interest is earned tax-free
  • Can be variable or fixed rate (access restrictions will vary accordingly)
  • Can only have one active ISA each tax year
  • Funds must be transferred via a set process to retain tax-efficiency

ISAs (or Individual Savings Accounts) are slightly different to standard savings accounts in that interest can be earned entirely tax-free. Unlike with traditional accounts, where interest is only tax-free up to a certain amount (we’ll get to that shortly), there’s no limit with a cash ISA, offering supreme levels of tax efficiency. You’re only allowed to save up to the annual ISA allowance each year (which is £20,000 for the 2018/19 tax year), but you can still accumulate interest on previous years’ savings.

Cash ISAs come in a range of easy access, notice and fixed rate savings options. You’re only allowed one active cash ISA each year, but if you’re not happy with it, you can transfer funds – together with any savings from previous years – to a new account. However, you’ll need to follow set transfer rules to retain your pot’s tax efficiency.

Then there are Junior ISAs (or JISAs), which can be opened for children of any age by the parent or legal guardian. The money can’t be accessed until the child turns 18, although they can manage their account from their 16th birthday. Much like with adult versions, JISAs have their own annual investment limit – the JISA allowance for 2018/19 has been set at £4,260 – and all interest is paid tax-free.

Are my savings protected if the bank went bust?

Yes! Up to a point. All UK-regulated banks and building societies come under the Financial Services Compensation Scheme (FSCS) umbrella, which means savings of up to £85,000 are protected per person, per banking licence. If you’ve got more than this stashed away, you’ll probably want to split your funds between different banking licences to get full protection – you can find out who shares the same banking licence here.

If you want to save with a non-UK regulated institution, fear not – all banks of this nature that trade in the UK operate under “passporting” schemes, usually as part of the equivalent European compensation scheme, which protects funds of up to €100,000.

There are two additional things to remember when it comes to savings protection. The first is that your protection limit is temporarily bumped up to £1 million after certain life events (such as selling your home or receiving an inheritance or redundancy pay-out) when your savings balance may be temporarily high. You’ve then got an additional six months of protection at this upper level.

Then there’s the fact that, if you save with NS&I, there’s absolutely no limit to worry about. NS&I is a Treasury-backed provider, which means all of your savings are guaranteed by the Government in the unlikely event that the provider went bust. So save away!

How are my savings taxed?

Traditionally, the interest earned on your savings was taxed, with the level of taxation based on your income tax band. The only exception to this was savings held within ISAs, whereby interest could be earned entirely tax-free.

However, a big change hit the market in 2016 – the Personal Savings Allowance (PSA). This gave savers an allowance of up to £1,000 and means interest earned up to that value is now completely tax-free, regardless of where that money is saved. Basic rate taxpayers have the full £1,000 allowance, while higher rate taxpayers only get a £500 allowance and additional rate taxpayers don’t get any.

The PSA means that the vast majority of savers don’t pay any savings tax whatsoever, though if you’ve got a substantial amount stashed away, the original rules still apply – any savings interest you receive above the PSA limit will be taxed at your nominal rate, i.e. based on your income tax band (so savers in the basic rate tax band will pay 20% interest, and so on).

Interest earned through ISAs doesn’t count towards your PSA, and remains tax-free no matter how much is earned. Lower earners also have a “starting rate for savings” where they can earn up to £5,000 in interest tax-free, which applies to those who earn up to £16,850. Savers can also use their Personal Allowance to earn tax-free interest if it hasn’t been used on income.

How to compare savings accounts in the UK

So how can you compare savings accounts to find the best savings account rates with the features that meet your needs? By using our savings search tool! Performing a savings account interest rate comparison is quick and easy – simply enter a few details and we’ll instantly show you a list of the deals that meet your requirements.

It can help you compare savings accounts across the market, and crucially, it ensures you earn the highest savings rate in the process. Then, if you’ve found a deal to suit, see if it’s got a green “Go to Site” button. If it does, click on the button and you’ll be directed straight to the provider’s website, allowing you to apply for a savings account there and then (we get a small commission from any accounts opened in this way, but this in no way affects the service or rate you receive).

When you compare savings rates, make sure to consider a few things. While finding the best savings interest rates will of course be a top priority, you’ll want to consider other features of any potential deal as well, such as whether it allows access and how it can be operated. Some can only be opened in branch, for example, while others require you to download a smartphone app, though there are many that offer a combination of different operating methods. Just make sure you read the details of any account thoroughly, and bear these in mind when making your decision.

FAQs

  • Why should I save? Because why wouldn’t you want to see the value of your money grow? That’s exactly what can be achieved with a savings account. Then there’s the fact that, if you didn’t save in a dedicated account, your money would essentially be losing value. Our money is constantly being eroded by inflation, and you’ll only maintain your purchasing power if you’re earning enough interest on your savings in the UK to counter inflation’s effects. Unfortunately, when inflation is high and savings interest rates are low, there won’t be that many accounts that can beat or match the rate of inflation, but anything is still better than nothing.
  • How much can I save? That all depends on the account in question. Some have maximum (and even minimum) investment limits, while others (such as regular savings accounts) restrict the amount that can be deposited each month. Easy access accounts are likely to be the most flexible, with many only requiring an initial deposit of £1 and/or having maximum investment limits of £1 million+, which should be more than enough for typical cash savers.
  • Can I withdraw my cash whenever I like? Again, it all depends on the account. Easy access accounts will typically let you withdraw money whenever you wish, whereas notice and fixed rate accounts may not, and even those that do may ask you to forego some interest.
  • How many savings accounts can I have? This is entirely up to you. Many people like to have a mixture of different accounts in their portfolio: an easy access account as an emergency fund, for example, along with a fixed rate bond for a lump sum, and perhaps a regular savings account to keep up the habit. The only exception here is if you’re talking about cash ISAs, in which case you can only pay into one account each tax year, though you can still have other accounts from previous years.
  • Can I have a joint savings account? Like with current accounts, many people like to have a joint savings account to reach their shared goals quicker, and luckily, most banks and building societies will let you open an account with your spouse, civil partner or anyone else you’d like to build a savings pot with (the only exception being ISAs, where they can only be opened by individuals). Both parties will be able to access the account and the funds within it, but it also means that both will be held liable for any issues with the account. Bear in mind too that if things turn sour and one party decides to withdraw all the money, it could be very difficult to get your share back, so trusting the other person is paramount!
  • Can I have a savings account if my credit rating is poor? Generally speaking, yes. Because you’re not asking to borrow money – you simply want to save what you already have – there should be no problem in opening an account even if you’ve got a poor credit history, so there should be nothing stopping you from building up that fund.
  • How is interest paid? Interest is generally paid directly into your account. This is known as ‘compounding’, whereby the interest is added to your pot and you can begin earning interest on that interest (how often the interest is paid varies according to the particular account; you might get it annually, monthly or occasionally on a quarterly basis). However, while interest is generally compounded, sometimes the account will require you to have the interest paid away, i.e. directed into another account. This may be the case with some monthly interest accounts, and could be useful if you want to use the interest as income rather than re-investing it into your savings.
  • Do savings accounts have minimum deposit requirements? Most do, though the requirements can vary wildly. In some cases the minimum deposit can be as little as £1, while some accounts will require you to invest a lump sum of several thousand pounds, which is why you need to make a thorough savings account comparison. Bear in mind that some have minimum balance requirements, too, which means that the account will only be operable if a minimum balance is maintained, and most have maximum investment limits (as discussed above).
  • How do I get the best interest rate for my savings? By comparing them! When looking for a savings account, compare interest rates thoroughly: if you’re opening a new account you’ll want to do a thorough savings comparison before you take the plunge, or if you’ve already got an account you’ll want to keep a close eye on the best savings interest rates in the market and be prepared to switch when necessary. Keep in mind that you’ll typically need to lock your money away to get the top rates, or will need to commit to a regular funding schedule (see above for an overview of the type of accounts available).
  • How often should I review my account(s)? Regularly, and at least annually. This is particularly the case if you’re receiving a variable rate of interest: variable savings rates can change at any time, and if you’re not on the ball or don’t stay up-to-date with communications from your bank or building society, you might find that you’re receiving a lower rate than you initially thought. Be particularly careful when it comes to bonus rates; bonuses typically only last for a year and the rate can drop dramatically thereafter, so set a date in your calendar so you know when to review things. Most variable rate accounts should let you leave near enough instantly, so if you’re not getting the best savings account interest rates, you can compare the alternatives and switch.
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