UK Savings Calculator
Project your savings balance with monthly deposits, compounding, and current UK rates. Free, privacy-first — inputs never leave your browser.
Details
Result
Ending Balance
£48,664
Total Deposits
£38,000
Interest Earned
£10,664
For estimation only. Not professional financial, tax, or legal advice. Consult a qualified advisor before making decisions. Full disclaimer.
UK savings in 2026
Easy-access accounts: 4-5% AER. Fixed-term bonds: 5-5.5% for 1-3 years. Regular savers (cap £200-300/mo): up to 7% AER but limited.
Personal Savings Allowance
Basic-rate taxpayers: £1,000 interest tax-free. Higher-rate: £500. Additional-rate: £0. Beyond that, interest is taxed at your marginal income rate. Max out your ISA first (£20k/yr, always tax-free).
Common questions about Savings
Are UK savings interest taxed?+
Yes, via the Personal Savings Allowance: basic-rate taxpayers get £1,000 tax-free interest, higher-rate £500, additional-rate £0. Beyond that, interest is taxed at your income rate.
ISA vs regular savings?+
ISA interest is always tax-free (£20k annual limit). Regular savings only up to your PSA. For basic-rate savers with < £1k interest, both are equivalent; above that, ISA wins.
What are current UK savings rates in 2026?+
Easy access: 3.5%-4.5% AER. Notice accounts (30-120 days): 4%-4.75%. Fixed-rate bonds (1-5 years): 4.25%-5.0%. Regular savers (monthly deposits up to £250-£300): 5%-7%. Premium Bonds: 4.4% prize rate (tax-free, no guaranteed return but chance of £25-£1M prizes). Rates track Bank of England base rate (4.75% currently). Top rates are usually at building societies (Nationwide, Yorkshire BS) and challenger banks (Chase, Monzo, Santander Edge).
How does FSCS protection work?+
The Financial Services Compensation Scheme protects up to £85,000 per person per banking licence (not per bank — some banks share licences, e.g., First Direct shares with HSBC). For joint accounts: £170,000. For "temporary high balances" (e.g., house sale proceeds): up to £1M for 6 months. Check bank licences on FSCS website before depositing above £85k. Many Premier and Private banks partner with multiple licensed entities to extend practical coverage.
Should I lock money into a fixed bond?+
Consider in a rate-cutting environment (locks in today's rate) or if you have a known need (e.g., house purchase in 2 years). Downside: early access is either impossible or heavily penalised (typically 90-365 days' interest). Rule: only lock money you're certain you won't need. Keep 3-6 months of expenses in easy access; beyond that, bond ladders (e.g., mix of 1-, 2-, 3-year bonds) balance liquidity and returns.
How is savings interest reported to HMRC?+
UK banks and building societies automatically report interest paid to HMRC after each tax year. If interest exceeds your Personal Savings Allowance, HMRC typically adjusts your tax code the following year to collect the tax — no Self-Assessment needed for most employees. Higher earners or those with £10,000+ interest must file SA. Interest from foreign accounts (Revolut EU entity, offshore bonds) is NOT auto-reported — you must declare it. Keep annual interest statements for 4 years in case of HMRC enquiry.