Best savings accounts in 2026
Interest rates have fallen over the last couple of years, which is good news if you’re applying for a mortgage or another type of credit. Bad news if you’re a saver, as your cash won’t work quite as hard as it did before.
If you’re sitting on a lump sum or building up your savings pot, now could be a good time to shop around for the best deal and lock in a competitive rate. But with so many options to choose from, how do you know which type of account is right for you?
Let’s take a look at the top savings accounts in the UK today, including easy-access, fixed-rate, Cash ISAs and Lifetime ISAs, and how to choose the right one based on your goals.
The below list is based on UK savings accounts providing the highest rate of interest. Accurate up to January 2026. Tax treatment depends on your individual circumstances and may be subject to change in the future.
What are the different types of savings accounts?
Before picking a savings account, it’s worth understanding the main types available. Each has its pros and cons depending on how flexible you need your savings to be and whether you’re looking to lock in a rate.
Easy-access savings accounts (also known as instant or flexible savings accounts) let you dip into your money whenever you need it. These accounts offer flexibility, but rates tend to be variable, meaning they can go down at any time.
Fixed-rate savings accounts offer more certainty. You’ll lock in a set interest rate for a fixed period, typically between 1 and 5 years. In exchange, you won’t usually be able to access your money during that time. These accounts are ideal if you don’t need your cash in the short term and want to protect your savings from falling rates.
Notice savings accounts sit somewhere in between. You’ll usually get a better rate than with easy-access accounts, but you’ll need to give advance notice, typically 30 to 180 days, before you can withdraw funds.
Just keep in mind: If you go over your Personal Savings Allowance (PSA), you may have to pay tax on your savings interest, unless your money is in an ISA
ISAs work similarly to other savings accounts but let you earn interest tax-free. You can deposit up to £20,000 each tax year in one or spread your money across multiple ISAs, including Cash ISAs, Stocks and Shares ISAs, Lifetime ISAs and Innovative Finance ISAs.
Tax treatment depends on your individual circumstances and may be subject to change in the future.
Best easy access savings accounts
1. Tembo HomeSaver
Interest rate: Boosted 5.24% interest rate for savings customers who use our award-winning mortgage service. You'll earn 3.74% AER (variable) on your savings, and build a 1.5% AER (fixed) bonus over 12 months, unlocked when you buy or remortgage through Tembo.
Minimum deposit: £1
Interest paid: Tracker rate is paid monthly, the bonus rate is earned daily for one year from the date of your first deposit and paid when you complete a qualifying mortgage through Tembo within 3 years.
Open via app
No joint accounts
2. Chase
Interest rate: 4.5% for new customers only, including a 1 year 2.25% newbie bonus on top of a 2.25% variable rate.
Minimum deposit: £1
Interest paid: monthly
Open via app
No joint accounts
3. Spring (part of Paragon Bank)
Interest rate: 4.11%
Minimum deposit: £10
Interest paid: monthly
Open via app
No joint accounts
4. Vida Savings
Interest rate: 4.11% AER (variable) but this rate falls to just 2.5% after the 4th withdrawal in one year
Minimum deposit: £10
Interest paid: monthly or annually
Open online
Sole or joint accounts available
5. Charter Savings Bank
Interest rate: 4.06% AER (variable), but this rate falls to just 2.5% after the 4th withdrawal in one year
Minimum deposit: £1
Interest paid: monthly or annually
Open online
Sole or joint accounts available
Best easy access Cash ISA accounts
Unlike a general savings account with easy access, an easy access Cash ISA allows you to earn tax-free interest on up to £20,000 each tax year without locking your money away.
Here are the best easy access Cash ISA accounts:
You might also like: Can I have more than one Cash ISA?
1. Tembo
Interest rate: Best straight rate on the market at 3.8% (variable) with daily accruing interest, earning you almost £400 more in interest than if you saved with the Big 4 banks over a 5-year period*. This rate is available to everyone - whether you're a new or returning customer.
Plus, customers get access to fee-free mortgage advice* through Tembo's award-winning mortgage service.
Interest paid monthly
Minimum deposit: £10
Withdrawals: Unlimited withdrawals with no rate change, fee or penalties.
Earn almost £400 more interest than the Big 4 banks with Tembo's Easy Access Cash ISA
Save up to £20,000, tax-free every year with a Tembo Cash ISA, and earn 2.7x more interest than if you were to save with the Big 4 banks*! Plus, unlimited withdrawals, fee-free mortgage advice, and monthly paid interest.
2. Trading 212
Interest rate: 4.33% AER (variable), only available to new customers, made up of 3.6% variable + 0.73% bonus. However, if you’re transferring over a Cash ISA with another provider, you’ll get a lower 3.6% interest rate on transfers of previous years’ deposits.
Duration: 12 months
Interest paid monthly
Minimum deposit: £1
Open an account online or via app
3. Plum
Interest rate: 4.32% AER (variable), only available for new customers, rate drops after 1 year. Interest rate is made up of 2.54% variable + 1.78% 1-year bonus
Duration: 12 months
Interest paid monthly or annually
Minimum deposit: £1
Open via app
No bonus on transfers in
You can read more in our guide on the Best Cash ISAs
Remember your PSA allowance!
You can earn up to £1,000 a year in interest tax-free as part of your personal savings allowance (PSA), depending on your income. With a fixed-rate account, if you get all your interest from in one go you could exceed your PSA in that year, which could mean you end up paying more tax.
If you think that interest rates may continue to fall in the coming months and you’re happy to lock your money away for a set period, you can protect your savings from falling interest rates by opening a fixed-rate savings account. We’ve picked out some of the best fixed savings accounts below, but the best account for you will depend on how much you’re able to save and how long you’re willing to lock your money away.
Best fixed rate savings accounts
Right now, the best interest rates on fixed rate accounts are similar to most of the best rates on easy access savings, but the advantage is that these rates are fixed, so they won’t change over the set time period.
With a fixed-rate account, you won’t usually be able to access your savings before the end of the term. If you do want to make a withdrawal early, you may have to pay a penalty, sacrifice your interest and close your account. However, if you’re happy to lock your money away, a fixed rate account can give you peace of mind that your rate won’t change for the duration of your fixed term.
Best short term fixed savings accounts
1. Oxbury
Interest rate: 4.23% AER (fixed)
Duration: 6 months
Interest paid at end of 6 month fixed period.
Minimum deposit: £1,000
Open an account online or via the app
No joint accounts
2. Oxbury
Interest rate: 4.22% AER (fixed)
Duration: 3 months
Interest paid at end of 3 month fixed period.
Minimum deposit: £1,000
Open an account online or via the app
No joint accounts
3. Hampshire Trust
Interest rate: 4.21% AER (fixed)
Duration: 6 months
Interest paid at end of 6 month fixed period.
Minimum deposit: £1
Open an account online
Best 1-year fixed savings accounts
1. Marcus
Interest rate: 4.55% AER (fixed)
Duration: 12 months
Interest paid at the end of the 12 month fixed period.
Minimum deposit: £1
Open an account online or via the app
2. OakNorth Bank
Interest rate: 4.26% AER (fixed)
Duration: 12 months
Interest paid at the end of the 12 month fixed period.
Minimum deposit: £1
Open an account online or via the app
3. Union Bank of India UK
Interest rate: 4.23% AER (fixed)
Duration: 12 months
Interest paid at the end of the 12 month fixed period.
Minimum deposit: £5,000
Open an account online
Best fixed rate Cash ISAs
Like fixed rate savings accounts, fixed rate Cash ISAs are designed to reward you with a fixed interest rate for a set period of time, in return for locking away your money. But unlike a savings account, Cash ISAs are tax-free, protecting your savings interest from being taxed.
You can save up to £20,000 each tax year into a fixed rate Cash ISA.
You might like: Are fixed rate Cash ISAs a good idea?
1. Kent Reliance
Interest rate: 4.16% AER (fixed)
Duration: 3 years
Interest paid: monthly, annually or at maturity
Minimum deposit: £1,000
Withdrawal penalty: 270 days’ interest
Open an account online or in branch
2. Hampshire Trust Bank
Interest rate: 4.16% AER (fixed)
Duration: 5 years
Interest paid: annually or at maturity
Minimum deposit: £1
Withdrawal penalty: 450 days’ interest
Open an account online
3. Cynergy Bank
Interest rate: 4.15% AER (fixed)
Duration: 3 years
Interest paid: at maturity
Minimum deposit: £500
Withdrawal penalty: 180 days’ interest
Open an account online
Keep reading: Best Fixed Rate Cash ISAs
Best Lifetime ISAs
A Lifetime ISA (LISA) is a tax-free savings account designed to help you save for your first home or retirement. You can save up to £4,000 of your £20,000 ISA allowance in a Lifetime ISA each year, and your savings will be boosted by a free 25% government bonus each year you save into the account, up to £1,000!
So, if you max out your LISA three years in a row, you’ll have a sweet £15,000 stashed away for your house deposit. Buying a house with a partner or friend? If they’re also a first-time buyer, you can have a LISA each! Together, you could have a £30,000 deposit in just 3 years.
You can only withdraw money from your LISA penalty-free for your first home or retirement. If you make a withdrawal before the age of 60 for something other than an eligible property purchase, you’ll be charged a 25% penalty on the amount you withdraw, which may mean you get back less than you put in
Take a look at our guide to the LISA withdrawal penalty to learn more.
1. Tembo
Interest rate: 3.8% AER (variable)
Interest paid monthly
Minimum deposit: £1
With Tembo, you get way more than our market-leading interest rate. As a Tembo saver, you’ll get fee-free access to our award-winning mortgage service* when it’s your time to buy, plus our Best Mortgage Deal guarantee.
Open the market-leading Lifetime ISA today
With the Tembo Cash Lifetime ISA, you'll earn 3.8% AER (variable) on your savings - that's hundreds more in interest towards your house fund vs saving with the closest competitor!
2. Moneybox
Interest rate: 4.00% AER (variable) but this includes the bonus rate of 1.20% which is only applied for one year. After this, your rate will drop to 2.80% AER (variable). As the average first-time buyer takes years to save up for a house, it’s worth considering a LISA with a higher rate of interest for longer than one year.
Interest paid monthly
Minimum deposit: £1
Open an account via app
3. Plum
Interest rate: 3.95% AER (variable) for one year only, dropping to 3.11% AER (variable) after that.
Interest paid monthly
Minimum deposit: £1
Open an account via app
Keep reading: Best Lifetime ISAs today
Where should I put £20k in savings in the UK?
Where you choose to put £20,000 in savings will depend on your financial goals, how soon you’ll need the money, and how much risk you're willing to take. If you want flexibility and easy access, an easy-access savings account or Cash ISA could be ideal — especially if you’re nearing your Personal Savings Allowance limit and want to earn interest tax-free. If you’re happy to lock your money away for a set period, a fixed-rate savings account might offer a better return.
Looking for a longer-term goal, like buying your first home? You could put part of your savings into a Lifetime ISA and benefit from a 25% government bonus — that’s up to £1,000 a year in free money. Alternatively, if you're open to some risk for potentially higher returns, you might consider splitting your savings between cash accounts and a Stocks & Shares ISA.
By spreading your money across different types of savings accounts, you can balance flexibility, growth, and peace of mind.
Beware of the introductory rates...
Research shows that first-time buyers in England must save half their disposable income for nine years to afford a deposit - rising to over 10 years in the East of England and 13 years in London and the South East. Therefore, it’s worth considering a LISA with a high rate of interest for longer than one year...
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*Based on saving £100 at the beginning of each month for 5-years. Calculations show at month 61 (after 5-years) Tembo customers saving at 3.80% would have £390.68 on average more than saving with Barclays, HSBC, NatWest or Lloyds. Accurate January 2026.