Brits urged to ‘act swiftly’ as ‘top’ savings accounts face interest rate cuts | Personal Finance | Finance

With interest rates poised to fall further in the coming months, UK savers are being encouraged to act quickly to secure the top deals before they go. The Bank of England recently held the base rate steady at 4.25%; however, analysts anticipate further cuts later this year, which could erode the competitive rates currently available on the market.

Caitlyn Eastell, spokesperson at Moneyfactscompare.co.uk, said: “Savers continue to be hit by the handful of base rate cuts over the past year as all the top rates for non-ISAs have dropped compared to the market leaders in June 2024.” She added: “Consumers need to consistently search for the best accounts to avoid receiving a raw deal and act swiftly so they can grab the most popular deals before they are pulled or worsen.”

Despite a series of rate reductions over the past year, over 1,400 savings products still offer interest above the current inflation rate of 3.4%, according to Moneyfactscompare.co.uk.

These options span a range of account types, including easy access, notice accounts, ISAs, and fixed-rate bonds. However, some five-year fixed deals are now outpacing shorter-term offers.

Ms Eastell said: “It may be a good time for savers to consider the benefits of locking away their cash for the next five years.”

Here are the top easy access and fixed rate savings accounts at the time of writing:

• Easy Access Account: Chase – 4.89% (includes bonus)
• One-Year Fixed Rate Bond: Cynergy Bank – 4.50%
• Two-Year Fixed Rate Bond: Cynergy Bank – 4.45%
• Three-Year Fixed Rate Bond: Cynergy Bank – 4.45%
• Four-Year Fixed Rate Bond: JN Bank – 4.4%
• Five-Year Fixed Rate Bond: Birmingham Bank – 4.47%.

Here are the top easy access and fixed rate Cash Individual Savings Accounts (ISAs) at the time of writing:

• Easy Access ISA: Trading 212 – 4.86% (includes bonus)
• One-Year Fixed Rate ISA: Cynergy Bank – 4.30%
• Two-Year Fixed Rate ISA: Cynergy Bank – 4.25%
• Three-Year Fixed Rate ISA: Cynergy Bank – 4.25%
• Four-Year Fixed Rate ISA: UBL UK – 4% (payable on maturity)
• Five-Year Fixed Rate ISA: UBL UK – 4.22% (payable on maturity).