April 2018: What are the best savings account rates?

We round-up the best savings accounts for the year.

The best deal on easy-access taxable accounts comes from French-owned RCI Bank, which pays 1.3 per cent on its Freedom account. Hot on its heels is Shawbrook Bank, offering 1.25 per cent on its Easy Access issue 11.  

Elsewhere, Ford Money pays 1.22 per cent and Kent Reliance offers interest of 1.21 per cent.  

When it comes to taxable fixed-rate bonds the best one-year rate comes from Wyelands Bank and United Trust Bank, both at 1.85 per cent, while Secure Trust pays 1.83 per cent.  

For 18 months you can fix at 1.95 per cent with Oaknorth Bank or 1.9 per cent with Metro Bank while Wyelands Bank pays 2.15 per cent for two years.

On easy-access cash Isas the best rate with no restrictions on withdrawals comes from Shawbrook Bank at 1.25 per cent, while Coventry Building Society pays 1.15 per cent.  Nottingham Building Society pays 1.2 per cent, but the account is only available through its branches. 

At Nationwide you can earn a higher 1.3 per cent – but you can only make one withdrawal from your account each year. The society also has a loyalty version paying 1.4 per cent for its members of at least 12 months’ standing.  

On one-year fixed rate cash Isas the best rate is 1.48 per cent from Kent Reliance followed by 1.45 per cent from both Ford Money and Tesco Bank.  For two years Kent Reliance pays 1.68 per cent and Principality Building Society 1.67 per cent while Aldermore Bank, Ford Money and Leeds Building Society all pay 1.65 per cent. 

How to beat inflation

To beat inflation, currently running at 3 per cent, compromises need to be made as all of the small number of regular savings accounts that pay more than inflation require savers to have a current account with the provider. Our sister publication Moneywise regularly keeps tabs on the savings market and has found there are six accounts that currently beat inflation.

-UK inflation: where’s it heading in the long term?

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