Compare savings accounts
Find the right savings account for you using the service provided by Experian Ltd
Compare and chooseBy clicking a retailer link you consent to third-party cookies that track your onward journey. This enables W? to receive an affiliate commission if you make a purchase, which supports our mission to be the UK's consumer champion.
Rates tumble on instant-access savings accounts: how to get the best deal
This month's average of 2.84% is the lowest figure recorded for 19 months
Rates on instant-access savings accounts have fallen to the lowest levels since August 2023, as deals offering 5% or more have been largely consigned to the past.
Data from Moneyfacts shows the average instant-access rate is currently 2.84% AER, down from 3.18% a year ago.
This is far from the rock-bottom rates recorded during the pandemic, but is the lowest average for 19 months.
Read on to find out why rates are falling and where you can find the best deals.
What's happening to instant-access rates?
Savings rates have been tumbling since the Bank of England (BoE) cut the base rate from 5.25% to 5% in August 2024. Two subsequent cuts mean it now stands at 4.5%.
A drop in the base rate is usually bad news for savers, as banks often respond by reducing the interest paid on savings accounts. Instant-access accounts are usually the first casualties of a base rate drop, because rates are variable and providers can tweak them whenever they want.
For example, the average instant-access rate was 3.14% AER at the time of August's base rate cut, but it had dropped to 3.03% by the time of November's reduction. The base rate was last cut in February, and since then the average instant-access rate has fallen to 2.84% AER.
All eyes will be on the BoE when it makes its next base rate announcement on Thursday (20 March), although it's highly likely that the rate will stay unchanged on this occasion.
- Find out more: types of savings accounts
How do top deals compare?
This table shows how today's top instant-access deals compare with those available this time last year. Results exclude accounts that impose opening restrictions, and are ordered by rate.
| Top accounts (19 March 2024) | AER | Top accounts (19 March 2025) | AER |
|---|---|---|---|
| Cynergy Bank Online Easy Access Account | 5.1% | GB Bank Easy Access | 4.6% |
| Charter Savings Bank Easy Access | 5.08% | Chip Instant Access Account | 4.6% |
| Kent Reliance Easy Access Account | 5.07% | Sidekick High Yield Cash Reserve | 4.59% |
| Family Building Society Online Saver | 5.04% | Monument Bank Easy Access Account (Raisin exclusive*) | 4.56% |
| Hampshire Trust Bank Online Easy Access Account | 5.01% | Kent Reliance Easy Access Account | 4.55% |
Source: Moneyfacts. Rates are subject to change.
Last March, you could take your pick of instant-access deals offering 5% AER or more. Now there isn't a single restriction-free account with a rate that high.
One thing that hasn't changed, however, is the dominance of smaller banks and building societies at the top of the charts.
The absence of big high street names is, in part, down to the fact that the challenger banks and platforms don't usually have physical branches. This means they have fewer overheads to worry about, so can offer higher rates while maintaining profit margins.
- Find out more: best savings accounts
The highest rates come with catches
There are deals offering better rates than those listed in our table, but the most attractive accounts often come with strings attached.
Here are three of the most common hoops that savers will need to jump through to get the very best deal.
1. Withdrawal limits
Some top-rate products limit the number of withdrawals that savers can make. In exchange, providers usually reward you with a higher rate of interest.
Vida Savings currently offers 4.63% AER on its instant-access product, but only allows you take money out four times a year. If you go beyond the withdrawal limit, the rate drops to just 2.5%.
2. Existing customers only
Some of the top savings accounts on the market are often reserved for existing customers of the bank or building society. That usually means having a current account, but you may also be eligible if you have another financial product, such as a mortgage or investment account.
For example, Leeds Building Society currently offers the best instant-access account, with a rate of 6% AER. However, it's only available to people who have a Leeds Building Society shared-ownership mortgage.
Revolut is also offering a 5% instant-access deal, but it's only available to its 'Ultra' current account customers. Also, be warned: a Which? investigation published last spring revealed that fraud victims were turning to the Financial Ombudsman Service in huge numbers to complain about this digital provider, with cases far exceeding those of the UK's largest banks.
3. Notice periods
Notice savings accounts work in a different way to instant-access deals. Instead of being able to withdraw your money when it suits you, you'll have to tell your provider in advance that you want to take cash out.
For some accounts, you'll need to inform the bank as much as six months ahead of time. For example, Market Harborough Building Society's product offers 4.85% AER but it has a notice period of 195 days.
These accounts are unlikely to suit you if you may need to get at your savings unexpectedly. If you do make an emergency withdrawal from a notice savings account, you're likely to lose some interest.
Shop around for the best account
When working out the best home for your savings, make sure you compare accounts from different banks.
Our guides to finding the best savings account and high-interest current account helps you make an informed decision on where to get the best rate, and highlight what caveats may be in the small print.
Our reviews also show how banks and building societies measure up for customer service, and reveal those that have met our criteria to become a Which? Recommended Provider.
