Updated 8 September 2026: the best easy-access savings rates are still reaching around 5% on restricted balances, while competitive larger-balance easy-access accounts are around 4.55%. Top fixed savings have moved slightly higher, with MoneySavingExpert now showing rates up to about 5.01%, and top easy-access Cash ISAs around 4.61%. The useful question is not simply which account has the biggest number, but how much of your balance can actually earn it, how long any bonus lasts and whether tax changes the after-tax return.
Cash is finally paying something again. The problem is that millions of pounds will still be sitting in savings accounts paying nowhere near the best rates available.
I originally published this comparison in August, so I have rechecked the market rather than leaving an old “best rates” article sitting unchanged. MoneySavingExpert’s savings guide was updated again on 7 September 2026 and its Cash ISA guide on 8 September. The broad picture remains similar, but several providers and rates have moved.
That does not mean everybody should chase the account with the biggest percentage next to its name. The right account depends on how much cash you have, whether you need instant access, when you will need the money and whether the interest itself could become taxable.
Why savings rates are still relatively high
The Bank of England held Bank Rate at 3.75% on 30 July 2026. Inflation had fallen to 2.6%, but the Bank warned that higher and volatile energy prices could push inflation back up later in the year.
Bank Rate does not dictate the exact rate your savings account pays, but it heavily influences the market. Banks compete for deposits based partly on their funding needs and expectations for future interest rates. That is why the best easy-access deals can sit above Bank Rate while an old account at the same bank may pay considerably less.
Loyalty is not a savings strategy. If your bank cuts your rate, your money does not have to stay there.
The best savings rates right now
Rates move quickly, so treat this as a snapshot rather than a promise that the same account will still lead the table next month. The figures below reflect MoneySavingExpert tables checked on 7-8 September 2026.
| Type | Example leading rate | Best for |
|---|---|---|
| Easy access, restricted balance | Up to 5% | Smaller balances where you meet the limits |
| Easy access, larger balance | First Active / Tembo around 4.55% | Cash you may need |
| Easy-access Cash ISA | Trading 212 4.61% | Tax-free interest on new money |
| Fixed savings | Up to about 5.01% | Rate certainty if you can lock money away |
| Fixed Cash ISA | Up to about 4.91% | Tax-free fixed return |
| Regular saver | Higher headline rates available | Saving a limited amount each month |
Rates and account availability can change without notice. Check the provider’s current terms, deposit limits, withdrawal restrictions and eligibility before moving money.
Easy access: probably where your emergency fund belongs
For money you could need unexpectedly, flexibility matters more than squeezing out every last 0.1%.
Some accounts still pay up to around 5% on restricted balances, but the limit matters. A headline 5% rate on only a few thousand pounds is not automatically a better home for £50,000 than a slightly lower rate that applies to the whole balance.
For larger balances, MoneySavingExpert highlighted First Active, part of NatWest, at 4.55% in late August, with Tembo also around 4.55%. Both illustrate why I would check the small print: temporary bonuses, maximum balances and withdrawal rules can matter as much as the headline AER.
Should you fix your savings?
A fixed account gives you certainty. You agree to lock the money away and the provider agrees to pay the stated rate for the fixed period.
By early September, MoneySavingExpert’s latest guide was showing top fixed savings around 5.01%. NS&I also launched new fixed-rate savings in August paying up to 4.85% depending on term, which is notable because NS&I deposits are backed by HM Treasury rather than the normal FSCS limit.
The decision is therefore less about grabbing a huge immediate premium and more about whether you want to guarantee today’s rate. If Bank Rate falls later, a fixed saver keeps paying the agreed rate. If rates rise instead, you could be stuck earning less than new accounts offer.
One option is to split the money rather than making one giant interest-rate prediction. Keep your emergency fund accessible and fix only cash you are confident you will not need.
Regular savers: the headline needs context
Regular savings accounts can advertise the highest conventional savings rates, but these accounts normally restrict how much you can deposit each month and may have eligibility or withdrawal rules.
That means a very high regular-saver rate is not the same as receiving that rate on £50,000 from day one. Your money enters gradually, so only the earliest deposits earn the headline rate for the full period.
They can still be excellent for somebody building savings from monthly income. Just do not compare the headline percentage directly with an unrestricted lump-sum account without looking at how much money can actually earn it.
Cash ISA or normal savings account?
A Cash ISA protects the interest from UK Income Tax. That can become valuable surprisingly quickly now that savings rates are materially above zero.
For 2026/27, the overall ISA subscription limit remains £20,000. From 6 April 2027, the government has announced a £12,000 annual cash ISA limit for most people under 65 within the overall ISA framework, while people aged 65 and over will continue to be able to put up to the full £20,000 into cash ISAs under the announced rules.
Whether you need an ISA today depends partly on your Personal Savings Allowance. Basic-rate taxpayers can generally receive up to £1,000 of savings interest without paying tax, while higher-rate taxpayers generally get £500 and additional-rate taxpayers get no Personal Savings Allowance.
| Tax position | Personal Savings Allowance | Approx cash producing that interest at 4.5% |
|---|---|---|
| Basic-rate taxpayer | £1,000 | £22,222 |
| Higher-rate taxpayer | £500 | £11,111 |
| Additional-rate taxpayer | £0 | £0 |
Those figures are deliberately simplified because other income can affect your tax position. But they show why somebody with £50,000 sitting in a high-paying account should at least understand the tax consequences rather than looking only at the gross rate.
Do not ignore FSCS protection
Rate chasing is pointless if you do not understand where your money is held. The Financial Services Compensation Scheme protects eligible deposits with authorised UK institutions up to the applicable limit per person, per banking licence.
MoneySavingExpert’s current guidance reflects the increased £120,000 standard deposit protection limit. The key phrase is per UK-regulated financial institution, not necessarily per brand. Two bank names can sometimes share the same banking licence, so large savers should check before assuming they have 2 separate protection limits.
What would £50,000 earn?
| Rate | Approx gross interest on £50,000 over 1 year |
|---|---|
| 2% | £1,000 |
| 3% | £1,500 |
| 4% | £2,000 |
| 4.5% | £2,250 |
| 5% | £2,500 |
That is why leaving a meaningful cash balance in an account paying 1% or 2% is not a small oversight anymore. On £50,000, the difference between 2% and 4.5% is roughly £1,250 of gross interest over a year.
The savings account checklist
What is the best easy-access savings rate in September 2026?
MoneySavingExpert’s guide checked in early September shows rates reaching around 5% where balance restrictions apply, while competitive easy-access accounts for larger balances are around 4.55%.
Is a fixed savings account better than easy access?
Not automatically. Fixing gives rate certainty but restricts access. If the fixed rate is only slightly above easy access, the value of keeping your money available may outweigh the extra interest.
Can I have more than one savings account?
Yes. Splitting money between easy access, fixed accounts, regular savers and ISAs can be more sensible than trying to force every pound into one product.
Are savings rates guaranteed?
Variable savings rates can change. Fixed-rate accounts normally lock the stated rate for the agreed term, subject to the account’s terms.
What I would research next
If you have a substantial amount in cash, the next question is not simply which bank pays 0.1% more. Work out how much of that money is genuinely short-term, how much could be fixed, how much belongs inside an ISA and whether money you will not need for 5 years or more should even remain entirely in cash. Then compare the after-tax return rather than just the advertised headline rate.
I cover saving, investing, property and the numbers behind personal finance on The Anxious Investor YouTube channel, with shorter updates on The Anxious Investor on TikTok.
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Written by Aren Deu | The Anxious Investor
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