Best New Year savings rates in 2014
Savers have to be quick off the mark to sign up to top-paying fixed rate bonds. In some cases they are only on offer for a few days.
Current top deals on one-year deals include Shawbrook Bank at 1.95 per cent before tax (1.56 per cent after tax) on a minimum £5,000. Tesco pays 1.9 per cent (1.52 per cent). Both accounts are available over the phone or through the post or you can apply online.
The best deal in the high street comes from Britannia, part of the Co-op Bank, at 1.84 per cent (1.47 per cent).
Tesco pays a higher 2.05 per cent (1.94 per cent) for eighteen months and, if you are willing to tie your money up for two years, the best deal comes from Shawbrook Bank at 2.4 per cent (1.92 per cent).
A new bond from Post Office, where the deposit taker is Bank of Ireland, offers a top deal in the high street at 2.25 per cent (1.8 per cent) for two years.
On easy-access accounts, Coventry Building Society Online Saver 5 remains the top deal at 1.6 per cent (1.28 per cent) but you are limited to four withdrawals a year. Virgin Money pays 1.51 per cent (1.21 per cent) with no withdrawal restrictions.
On tax-free cash Isas, Post Office Premier Isa at 1.8 per cent pays the best rate on easy-access deals although it restricts you to two withdrawals a year and the rate is boosted by a 0.9 percentage point bonus for the first 18 months.
Virgin Money and Britannia both pay 1.75 per cent with no bonus, but Britannia restricts you to two withdrawals a year. All accept transfers from other providers.
On fixed-rate cash Isas you can earn 1.9 per cent at Bath Building Society for one year but you can only put this year’s cash Isa allowance (up to £5,760) into this account. At Britannia and Aldermore Bank, the rate is 1.85 per cent and both accept transfers.
Post Office has launched the top two-year deal at 2.25 per cent on a minimum £500 and will let you move your existing cash Isas into the account.
Coventry Building Society pays 2.75 per cent fixed until 30th May 2017 but does not accept transfers. Virgin Money pays 2.4 per cent and lets you transfer in your previous years’ Isas.