Your cookie preferences

We use cookies and similar technologies. You can use the settings below to accept all cookies (which we recommend to give you the best experience) or to enable specific categories of cookies as explained below. Find out more by reading our Cookie Policy.

Select cookie preferences

Skip to main content
Utrack

Popular Search Terms

Compare the best savings account deals

Compare the best savings accounts

Take a look at the best savings accounts in the market so you can find the best option to help meet your goals

  • Look at how your currently save

  • Compare different savings accounts and interest rates

  • Find an account that works for you

  • Look at how your currently save

  • Compare different savings accounts and interest rates

  • Find an account that works for you

Fact checker
Last updated
June 2nd, 2025

What is a savings account?

A savings account is a place where you can put your money and earn interest on the money you save. The interest rates can vary but it is a convenient way to look after your money if you want to save for the future. There are different types of savings accounts available to suit long-term and short-term savings. 

Everyone has a personal savings allowance (PSA), which lets basic-rate taxpayers (20%) earn up to £1,000 in interest without paying any tax on it. If you are a taxpayer at a higher rate (40%), you can earn £500 in savings per year with no tax, but if you are an additional-rate taxpayer (45%), you will pay tax on all interest earned. 

Total amount in UK savings accounts [1]
£1,954bn
fscs-logo
Is my money safe?
The Financial Services Compensation Scheme (FSCS) guarantees that the first £85,000 you have saved with a UK-authorised bank or building society (or the first £170,000 for a joint account) will be safe even if the business goes bust.

Types of savings accounts

Easy access savings accounts

An easy access savings account pays interest and gives you the freedom to withdraw your savings when it suits you. It is more flexible than other savings accounts in the market, although there may still be some withdrawal limits or conditions.

Notice savings accounts

A notice savings account requires you to give notice to your bank or building society before you can withdraw money. The notice period varies from a week to more than a month, depending on the terms of the account.

Fixed-rate bonds

A fixed-rate bond is a type of savings account that allows you to put your money away for a set amount of time. You can’t take the money out or pay more in during this time, but in exchange you are normally rewarded with a higher interest rate in comparison to other savings accounts.

Children's savings accounts

A children’s savings account is very similar to a savings account for adults and is offered by banks and building societies. It can be a good way to educate children about money and encourage them to save in the future.

ISAs

ISA stands for Individual Savings Account, a tax-efficient savings vehicle introduced by the government as a way of encouraging people to save. With this type of savings account, you can avoid paying income tax on your interest, but there is a limit on how much you can save into one each year. There are different types of ISAs, including cash ISA, lifetime ISA and stocks and shares ISA.

Pros and cons of a savings account

Pros

You can earn interest on your savings
It’s a safe place for your money as it is protected by the FSCS (up to £85,000)
They are easy to open; most accounts can be opened online or by visiting a branch

Cons

Some savings accounts have restrictions, so you might not be able to access your money straight away
Interest rates can go up and down, usually in line with the Bank of England’s base rate
Even the interest paid by the best savings accounts often fall short of inflation
Current account interest vs savings accounts interest
Interest earned on £2,000 over 3 years in a standard current account vs savings accounts

Source: Defaqto and Uswitch. Updated: June 2, 2025

Savings accounts FAQs

How can I find the best bank for a savings account?

It's always a good idea to do your research before signing up for a new savings account. We can help you compare the savings rates on offer from the best deals in the market so that you find the right home for your money.

What do I need to do to open a savings account?

If you would like to open a savings account, you can normally do this by visiting your chosen bank's branch, visiting their website, or calling them. Some banks only allow you to open an account in a specific way, so always check the terms and conditions before proceeding. You'll then need to provide a proof of ID and proof of address so the bank can complete the necessary checks.

Can I get a joint savings account?

Yes, it is possible to set up a joint savings account and this will mean that the account belongs to yourself and the other account holder. You'll then both be able to deposit money into the account and build your savings pot together.

Is there a limit to how much I can save?

It depends on what account you open, as there can be some restrictions. For example, you can only save up to £20,000 in a cash ISA each tax year.

Our latest guides

Browse our guides on savings accounts and find out how you can achieve your savings goals
A guide to top savings accounts and ISAs
Retirement planning
Best cash ISA transfer
Best cash ISA transfer
The Financial Services Compensation Scheme (FSCS)
The Financial Services Compensation Scheme (FSCS)

About the author

Olly McConnell
Olly joined the team in 2022 and used his SEO expertise to make sure more consumers found the right financial products. Now, he is a product marketing manager and Olly works alongside commercial and marketing teams to grow our product offering within financial services.

Customer Reviews

Rated 4.7 out of 5
by 31,609 people

References

1. BSA annual savings statistics: Amount of money in savings accounts in the UK