For an emergency fund, you need an account that lets you access your money whenever you need to. Instant or easy access accounts let you deposit or withdraw cash as you see fit. There may be a short delay of a day or two to complete withdrawals with easy access accounts, but otherwise they are the same as instant access accounts. Be aware that some banks may ask for 24 hours notice for withdrawing amounts above £1,000.
Find our best savings accounts and ISAs
Get a savings account that works for you and discover our best interest rate of 4.5%
Our best savings rates today - last updated Dec 4 2025
The highest interest rates for our top savings accounts available in the UK. This list is updated daily and it includes promoted products, so the highest interest rates could be further down the table.
| Product type | AER | |
|---|---|---|
| Instant access savings | 4.20% | |
| Notice savings | 4.17% | |
| Cash ISAs | 4.47% | |
| 1 year fixed rate bond | 4.50% | |
| 5 year fixed rate bond | 4.26% | |
| Fixed rate bond | 4.50% |
What is a savings account?
Savings accounts are types of accounts with a bank or building society where you put away money to earn a return through interest. While the interest you earn on many savings accounts can be relatively modest, they provide a safe and reliable place to stash your money for short term needs.
They’re especially useful if you’re looking to build an emergency fund, or for short-term savings goals like buying a car or a holiday.
How does a savings account work?
You can open a savings account with banks, building societies or other online financial institutions. Once the account's open, you can deposit money into your savings account either via online banking or in-branch depending on your provider.
Your provider then pays you a specific interest which is either fixed or variable on your savings. The more money you save, the more interest you'll earn.
Everyone gets a personal savings allowance which allows you to save tax-free up to £1,000 if you're a basic-rate taxpayer. This changes to £500 for higher-rate taxpayers. If you're earning more than £1,000 in interest, then it's worth exploring ISAs as these allow you to save money tax-free up to £20,000 annually.
It's worth noting that from 6 April 2027, the rules for ISAs change. While the overall annual ISA allowance remains £20,000, only up to £12,000 can be contributed to a cash ISA if you’re under age 65 - the rest (up to £8,000) must go into a stocks & shares ISA or other non-cash ISA types.
There are many different types of savings accounts and these come with certain restrictions, from how much you can withdraw to minimum opening deposits. It's important to understand these restrictions before moving your money as you could face fees or other penalties.
Average savings rate vs base rate over time
An illustration of how savings rates have changed in relation to the Bank of England base rate since 2022. The average rates have been calculated by taking the rates from the whole of market at the time of the base rate change. Source: Defaqto and Bank of England data.
Which type of savings account is best for you?
![If you're building an emergency fund...]()
If you're building an emergency fund...
For an emergency fund, you need an account that lets you access your money whenever you need to. Instant or easy access accounts let you deposit or withdraw cash as you see fit. There may be a short delay of a day or two to complete withdrawals with easy access accounts, but otherwise they are the same as instant access accounts. Be aware that some banks may ask for 24 hours notice for withdrawing amounts above £1,000.
![If you want to put away money regularly...]()
If you want to put away money regularly...
If you're looking to save money regularly, but don't have a specific goal in mind, a cash ISA lets you add up to £20,000 a year to your nest egg. The better news is that any interest you earn with these is also protected from tax.
![If you're trying to save for a large purchase...]()
If you're trying to save for a large purchase...
If you're looking to buy a car or pay for a future holiday, you'll likely want an account that allows you to put away money that you can't access unless you absolutely need to. In this case, notice savings accounts may have you covered.
These accounts will allow access to funds saved, although you may have to wait for 30 days to up to 120 days to make a withdrawal. However, you typically get higher interest rates on notice accounts compared to easy-access accounts.
![If you don't need the money right away...]()
If you don't need the money right away...
The go-to option if you’re serious about earning interest on your savings, but won't need the money for a while, is a fixed-rate bond. These pay about the best interest available, but mean you have to commit to locking your money away for a set period. The longer the term of the bond, typically, the higher rate you'll get.
Which type of savings account is best for you?
If you're building an emergency fund...
If you want to put away money regularly...
If you're looking to save money regularly, but don't have a specific goal in mind, a cash ISA lets you add up to £20,000 a year to your nest egg. The better news is that any interest you earn with these is also protected from tax.
If you're trying to save for a large purchase...
If you're looking to buy a car or pay for a future holiday, you'll likely want an account that allows you to put away money that you can't access unless you absolutely need to. In this case, notice savings accounts may have you covered.
These accounts will allow access to funds saved, although you may have to wait for 30 days to up to 120 days to make a withdrawal. However, you typically get higher interest rates on notice accounts compared to easy-access accounts.
If you don't need the money right away...
The go-to option if you’re serious about earning interest on your savings, but won't need the money for a while, is a fixed-rate bond. These pay about the best interest available, but mean you have to commit to locking your money away for a set period. The longer the term of the bond, typically, the higher rate you'll get.
Is my money safe?
The Financial Services Compensation Scheme (FSCS) guarantees that the first £120,000 you have saved with a UK-authorised bank or building society (or the first £240,000 for a joint account) will be safe even if the business goes bust.
Our best instant access cash ISA
An instant access cash ISA is worth exploring if you're looking for flexibility and want to avoid paying tax on the interest you're earning.
Plum Cash ISA
Instant access
Term
4.45%
AER variable on £1+ inc. 1.41% fixed bonus for 12 months
Any amount
Open with
FSCS
Protection scheme
How we score our products
Expert verdict
Account details
No notice, penalty, or charge applies.
Eligibility
Maximum Age
Unlimited
Permanent UK Resident
Our editors picked this deal by weighing several factors for each product, including the interest rate, withdrawal conditions, minimum opening balance and more.
Our best easy access savings account
An easy access savings account means you can withdraw and deposit money quickly and easily.
Santander Edge® saver
£1
Minimum
6%
AER variable on £1 to £4,000 inc. 2.5% fixed bonus for 12 months
FSCS
Protection
Instant access
Account
How we score our products
Expert verdict
Account details
No notice, penalty, or charge applies.
Eligibility
Maximum Age
Unlimited
Minimum Initial Deposit
£1
Maximum Initial Deposit
£2,000,000
Permanent UK Resident
Our editors picked this deal by weighing several factors for each product, including the interest rate, withdrawal conditions, minimum opening balance and more.
Our best notice savings account
This savings account requires you to give notice before withdrawing money, but it can come with a competitive interest rate.
RCI Bank E-Volve Savings 14 Day Notice Account
£100
Minimum
4.05%
AER variable
FSCS
Protection
14 days notice
Account
How we score our products
Expert verdict
Lucinda O'Brien, our savings expert says..
"RCI Bank's notice account offers savings in support of a good cause, as all deposits will be used to fund pure electric vehicles and charging.
With notice, this account also offers gives a slightly better rate than you'd get with an instant access. So if you know you won't need to withdraw money right away, and you're keen on ethical investing, this is a good option."
Pros and cons
Pros
Cons
Account details
Withdrawals and closure permitted subject to 14 days' notice.
Eligibility
Maximum Age
Unlimited
Minimum Initial Deposit
£100
Maximum Initial Deposit
£1,000,000
Permanent UK Resident
Our editors picked this deal by weighing several factors for each product, including the interest rate, withdrawal conditions, minimum opening balance and more.
Our best 1-year fixed rate bond
A fixed rate bond offers guaranteed interest for a specific period, but you won't be able to withdraw until the term ends.
Investec 1 Year Fixed Rate Saver
1 year
Term
4.5%
AER fixed
£5,000
Open with
FSCS
Protection scheme
How we score our products
Expert verdict
Lucinda O'Brien, our savings expert says..
"This savings account has a competitive interest rate and it gives you guaranteed interest for a whole year. You can start saving from £5,000, but remember you won't be able to access your money until the end of the term."
Pros and cons
Pros
Cons
Account details
No withdrawals or closure permitted during the term of the account.
Eligibility
Maximum Age
Unlimited
Minimum Initial Deposit
£5,000
Maximum Initial Deposit
£250,000
Permanent UK Resident
Our editors picked this deal by weighing several factors for each product, including the interest rate, withdrawal conditions, minimum opening balance and more.
How to compare savings accounts
It's important to look at the key features of each savings account to find the one that suits you.
Interest rate
Take a look at the interest rate for each savings account and compare fixed and variable rates. The highest rate might not always be the best for you, as it could come with restrictions that don't suit your savings goals.
Accessibility
Decide how often you want to access your savings and this will help you to choose an account. For example, easy access offers flexibility with withdrawals, whereas fixed rate accounts will not allow you to withdraw until the end of the term.
Minimum and maximum deposits
Some savings accounts will have minimum deposit requirements, and others will have maximum limits. If you don't have the minimum deposit available, this will help with the decision making process.
Bonuses and promotions
Providers can offer introductory promotions and bonus rates on savings accounts, but these might drop after a certain period. It's important to check whether these promotions align with your savings plan.
Pros and cons of savings accounts
Pros
They're easy to open
You can earn high interest so your money grows
Some types of accounts allow you to access your money easily
You can open some savings accounts with just £1
Your money is protected by the FSCS
Cons
Any returns you get through interest are relatively moderate
Some types of savings accounts penalise you for withdrawals
Interest rates can fluctuate depending on the BoE base rate and savings providers' needs
Can I have more than one savings account?
In the UK, you can have multiple savings accounts and it can actually be beneficial to have more than one. For example, you could have separate accounts for different savings goals. This could include an easy access account for an emergency fund and then a lifetime ISA if you're a first-time homebuyer saving for a house deposit. You could also have a fixed rate bond for a large sum of money that you don't need to spend for a few years.
Opening more than one savings account also means you could maximise the interest rates that are in the market. Do your research beforehand and find out whether splitting your money could increase returns.
Plus, the Financial Services Compensation Scheme (FSCS) offers protection on up to £120,000 per bank. If you have more than that, you can spread it across different providers to make sure all your money is safe.
How do I open a savings account?
The good news is that it's fairly easy to open a savings account.
Most providers allow you open it online, by phone or in branch but bear in mind some accounts have to be opened in specific ways.
To open a savings account, you'll need to provide ID and proof of your address so the bank can do its relevant checks.
The provider may also ask for an initial deposit to open the account and this can start from just £1.
FAQs
Do I need a savings account?
A savings account isn't compulsory but it can be useful tool for managing your finances to achieve your goals. For example, if you would like to buy a house one day, a savings account can help you to reach this milestone as it encourages you to budget effectively and put money away each month. It's recommended that at least 20% of your income should be saved and a savings account is a safe place to store this money.
However, the biggest bonus of a savings account is that you also earn interest on your savings. In the past few years, interest rates on savings accounts have risen, but we're starting to see rates decrease now. There are many rates still above inflation and this gives your money more purchasing power. So, if your savings are currently sitting in an account earning little to no interest, then you could be missing out on some extra cash.
The savings account market is also always changing, especially when the Bank of England adjusts the base rate, so it's important to compare all savings accounts to find the best deal for your money.
Who can open a savings account?
Most people in the UK can open a savings account, but there are some eligibility requirements. For example, for UK banks you'll need to be a UK resident and provide a proof of identity when you apply for the account.
Most providers also require you to be at least 16 or 18 years old, depending on the type of savings account you are opening. For anyone under 16, they can usually open an account with a parent or guardian.
Why are banks lowering savings interest rates?
Banks are lowering interest rates on savings for a few reasons.
Interest rates on savings accounts peaked in 2023 with some providers offering rates above 6%. At this time, the Bank of England's base rate was 5.25%, but it has since dropped to 4%. This is one of the reasons why banks are lowering interest rates on savings, to be in line with the base rate.
However, it's not the only reason, as providers also look at the whole market and they can adjust interest rates to try and beat competitors.
What is our highest rate for a savings account?
Our best interest rate for a savings account is currently 4.5% as of Dec 4 2025.
Is my money safe in a savings account?
The Financial Services Compensation Scheme (FSCS) provides £120,000 of protection for each person who has saved money in a registered bank or building society in case it goes bust. This rises to £240,000 for joint accounts.
So, if you’re a single person with £170,000 in savings, you could protect the full amount by putting £120,000 in two separate accounts held by different savings providers.
But keep in mind that many banks operate under shared licences, for example HSBC and First Direct, which means you are only protected up £120,000 even if you have accounts in both banks.
Can I get a joint savings account?
Yes, most savings accounts can be set up in joint names, so you should be able to do this if you’d like to save with someone else.
Where can I put my money to earn the most interest?
If you would like to earn the maximum amount of interest then you will need to compare savings accounts. Generally, fixed-rate accounts have higher interest rates in exchange for locking away your money for a fixed amount of time. But there will be some exceptions, so the key to finding the most interest is research.
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