Best UK Savings Rates — November 2026 | 5.4% Fixed & Savings Tax Rise Update

Savings rates climb as tax on non-ISA interest rises

Cash savings rates have risen again, and fixed bonds above 5% already price in the Bank of England hike markets expect on Thursday. From April 2027 the Budget raises the tax on interest earned outside an ISA, while the £20,000 cash ISA allowance survives. Leading rates carry conditions such as bonus periods and withdrawal limits, so terms matter as much as the headline.

Takeaways

• Tax on interest outside an ISA rises. From April 2027 the tax on interest earned outside an ISA goes up four percentage points, to 24% for basic-rate taxpayers and 44% for higher-rate payers. The proposed cut to the £20,000 cash ISA allowance has been scrapped.
• Fixed rates already price in a Bank hike. The Bank of England decides the base rate on Thursday, with the rate at 3.75% and inflation at 3.5%. Markets expect a rise to 4%, but every one to five year fixed bond already pays over 5%, with 5.4% leading.
• One and five year fixes barely differ. Shawbrook and Aldermore pay 5.25% for five years, while Shawbrook's one-year ISA pays 5.02% against Zopa's 5%. With only a 0.23 point gap, Jonny Pease would consider a two-year Castle Trust fix or Zopa's one-year.
• Afin Bank leads every fixed bond term. Afin Bank leads every term, paying 5.28% for two and three years and 5.4% for five, app only with a £1,000 minimum. OakNorth pays 5.12% over one year, and Vida 5.26% on two-year bonds.
• Top easy access rate runs on a bonus. LemFi still tops easy access at 5%, but the rate reverts to 3.04% after six months. Oxbury's Autumn account pays 4.57% and Zopa's limited access account pays 4.56% but drops to 2% on a fourth withdrawal.
• eToro leads cash ISAs despite restrictions. eToro's easy access cash ISA rose from 4.87% to 4.94%, but it is a money market fund with £85,000 FSCS cover instead of £120,000 and a £500 minimum. Its 1% bonus is lost after three withdrawals. Trading 212 pays 4.87% for new DepositScout signups.
• Stacking regular savers earns £783 a year. first direct pays 7% with a £300 monthly cap, Santander 8% with £200, Tembo 8% with a £250 cap and a 5% bonus at month 12, and Mansfield and AIB 6%. Saving £1,850 a month across them earns £783.25.

Switching offers and what they require

• Santander pays £240 for its everyday switch. It requires a £1,500 deposit and two direct debits within 60 days, plus £200 into the regular saver. Jan Watermann calls it outstanding but restrictive.
• Barclays pays up to £600 for cash ISA transfers, open only to Premier customers depositing £100,000 or more. Those moving £10,000 to £25,000 get £50.
• Barclays' current account switch pays £300, as £150 upfront plus £30 a month for five months.