Brand Logo Moneyfacts Group plc
Telephone Icon T: 01603 476476 Email Icon E: enquiries@moneyfacts.co.uk LinkedIn Icon

Top fixed rates endure cuts as variable rates flourish

Image of Moneyfacts.co.uk Brand Logo Image of Moneyfacts.co.uk Brand Logo Image of Moneyfacts.co.uk Brand Logo
Caitlyn Eastell, Apprentice Press & PR Assistant
Caitlyn Eastell, Apprentice Press & PR Assistant 01603 476169 Email Caitlyn
17/07/2024

Top fixed rates endure cuts as variable rates flourish

As rates continue to drop, savers should secure a fixed deal to beat inflation for longer. Moneyfactscompare.co.uk reveals the top rate deals available to those searching for a competitive return.

Top fixed rates endure cuts as variable rates flourish

As rates continue to drop, savers should secure a fixed deal to beat inflation for longer. Moneyfactscompare.co.uk reveals the top rate deals available to those searching for a competitive return.

  • The Consumer Price Index (CPI) remained at 2.0% during June, from 2.0% in May.
  • There are currently 1,638 savings accounts that beat inflation* (284 easy access, 164 notice accounts, 216 variable rate ISAs, 310 fixed rate ISAs and 664 fixed rate bonds).
  • The Bank of England’s modal projection rate for inflation during Q2 2025 is 2.6%.
  • In July 2023, there were no deals that could beat 7.9% (June 2023 CPI) and in July 2022, there were no deals that could beat 9.4% (June 2022 CPI).
  • The Consumer Price Index (CPI) remained at 2.0% during June, from 2.0% in May.
  • There are currently 1,638 savings accounts that beat inflation* (284 easy access, 164 notice accounts, 216 variable rate ISAs, 310 fixed rate ISAs and 664 fixed rate bonds).
  • The Bank of England’s modal projection rate for inflation during Q2 2025 is 2.6%.
  • In July 2023, there were no deals that could beat 7.9% (June 2023 CPI) and in July 2022, there were no deals that could beat 9.4% (June 2022 CPI).

 

Savings market analysis

Top savings deals at £10,000 gross

20-Jul-22

19-Jul-23

19-Jun-24

Today

Easy access account

Al Rayan Bank – 1.60%**

DF Capital – 4.55%

Ulster Bank – 5.20%

Ulster Bank – 5.20%

Notice account

OakNorth Bank – 2.05% (120-day)

BLME – 5.15% (90-day)

Vanquis Bank – 5.35% (90 day)

Vanquis Bank – 5.35% (90 day)

One-year fixed rate bond

Tandem Bank – 2.75%

Vanquis Bank – 6.15%

Vanquis Bank – 5.21%

Union Bank of India (UK) Ltd– 5.40%

Two-year fixed rate bond

Gatehouse Bank – 3.10%**

Investec Bank plc (Raisin UK) – 6.24%

Vanquis Bank – 5.06%

Isbank (Raisin UK) – 5.13%

Three-year fixed rate bond

Aldermore – 3.15%

Investec Bank plc (Raisin UK) – 6.44%

UBL UK – 4.85% (payable on maturity)

UBL UK – 4.85% (payable on maturity)

Four-year fixed rate bond

Aldermore – 3.20%

Hampshire Trust Bank – 5.85%

Isbank (Raisin UK) – 4.75%

UBL UK – 4.54%(payable on maturity)

Five-year fixed rate bond

PCF Bank – 3.45%

RCI Bank UK – 5.80%

UBL UK – 4.95% (payable on maturity)

UBL UK – 4.95% (payable on maturity)

**Islamic bank, pays an expected profit rate. Top rates exclude deals with restrictive criteria. Notice accounts exclude those over 180 days.

Source: Moneyfactscompare.co.uk

 

ISA market analysis

Top savings deals at £10,000 gross

20-Jul-22

19-Jul-23

19-Jun-24

Today

Easy access ISA

Cynergy Bank – 1.40%

Principality BS – 4.20%

Trading 212 – 5.07%

Trading 212 – 5.07%

Notice ISA

Aldermore – 1.40% (30-day)

Marsden BS – 4.45% (180-day)

West Brom BS – 5.10% (60-day)

West Brom BS – 5.10% (60-day)

One-year fixed rate ISA

Secure Trust Bank – 2.15%

NatWest – 5.70%

Virgin Money – 5.05%

Virgin Money – 5.05%

Two-year fixed rate ISA

Virgin Money – 2.56%

NatWest – 5.90%

United Trust Bank – 4.67%

Beehive Money – 4.70%

Three-year fixed rate ISA

Aldermore – 2.75%

Virgin Money – 5.55%

Principality BS – 4.50%

Principality BS – 4.60%

Four-year fixed rate ISA

Gatehouse Bank – 2.45%**

United Trust Bank – 5.15%

UBL UK – 4.30% (payable on maturity)

UBL UK – 4.30% (payable on maturity)

Five-year fixed rate ISA

UBL UK – 2.74% (payable on maturity)

UBL UK – 5.54% (payable on maturity)

UBL UK – 4.43% (payable on maturity)

UBL UK – 4.43% (payable on maturity)

**Islamic bank, pays an expected profit rate. Inflation announcement dates. Top rates exclude deals with restrictive criteria. Notice ISAs exclude those over 180 days.

Source: Moneyfactscompare.co.uk

 

 

 

Savings market analysis

Top savings deals at £10,000 gross

20-Jul-22

19-Jul-23

19-Jun-24

Today

Easy access account

Al Rayan Bank – 1.60%**

DF Capital – 4.55%

Ulster Bank – 5.20%

Ulster Bank – 5.20%

Notice account

OakNorth Bank – 2.05% (120-day)

BLME – 5.15% (90-day)

Vanquis Bank – 5.35% (90 day)

Vanquis Bank – 5.35% (90 day)

One-year fixed rate bond

Tandem Bank – 2.75%

Vanquis Bank – 6.15%

Vanquis Bank – 5.21%

Union Bank of India (UK) Ltd– 5.40%

Two-year fixed rate bond

Gatehouse Bank – 3.10%**

Investec Bank plc (Raisin UK) – 6.24%

Vanquis Bank – 5.06%

Isbank (Raisin UK) – 5.13%

Three-year fixed rate bond

Aldermore – 3.15%

Investec Bank plc (Raisin UK) – 6.44%

UBL UK – 4.85% (payable on maturity)

UBL UK – 4.85% (payable on maturity)

Four-year fixed rate bond

Aldermore – 3.20%

Hampshire Trust Bank – 5.85%

Isbank (Raisin UK) – 4.75%

UBL UK – 4.54%(payable on maturity)

Five-year fixed rate bond

PCF Bank – 3.45%

RCI Bank UK – 5.80%

UBL UK – 4.95% (payable on maturity)

UBL UK – 4.95% (payable on maturity)

**Islamic bank, pays an expected profit rate. Top rates exclude deals with restrictive criteria. Notice accounts exclude those over 180 days.

Source: Moneyfactscompare.co.uk

 

ISA market analysis

Top savings deals at £10,000 gross

20-Jul-22

19-Jul-23

19-Jun-24

Today

Easy access ISA

Cynergy Bank – 1.40%

Principality BS – 4.20%

Trading 212 – 5.07%

Trading 212 – 5.07%

Notice ISA

Aldermore – 1.40% (30-day)

Marsden BS – 4.45% (180-day)

West Brom BS – 5.10% (60-day)

West Brom BS – 5.10% (60-day)

One-year fixed rate ISA

Secure Trust Bank – 2.15%

NatWest – 5.70%

Virgin Money – 5.05%

Virgin Money – 5.05%

Two-year fixed rate ISA

Virgin Money – 2.56%

NatWest – 5.90%

United Trust Bank – 4.67%

Beehive Money – 4.70%

Three-year fixed rate ISA

Aldermore – 2.75%

Virgin Money – 5.55%

Principality BS – 4.50%

Principality BS – 4.60%

Four-year fixed rate ISA

Gatehouse Bank – 2.45%**

United Trust Bank – 5.15%

UBL UK – 4.30% (payable on maturity)

UBL UK – 4.30% (payable on maturity)

Five-year fixed rate ISA

UBL UK – 2.74% (payable on maturity)

UBL UK – 5.54% (payable on maturity)

UBL UK – 4.43% (payable on maturity)

UBL UK – 4.43% (payable on maturity)

**Islamic bank, pays an expected profit rate. Inflation announcement dates. Top rates exclude deals with restrictive criteria. Notice ISAs exclude those over 180 days.

Source: Moneyfactscompare.co.uk

 

 

Caitlyn Eastell, Spokesperson at Moneyfactscompare.co.uk, said:

“As inflation continues to soften its burden on savers’ pots, they may find that they can earn more cash in real terms, especially with recent fluctuations in the top rates offered. However, those investing in the longer-term will find that rates have remained steady. Both variable rate and fixed rate ISAs have seen an increase in average rates, whereas non ISA savings have seen a mixture of rises and falls across the board.

“Many flexible accounts have soared in the past year, largely due to the several consecutive base rate rises throughout 2023 and fairer competition championed by the FCA, which may be positive news for those less inclined to lock away their cash. However, with an imminent reduction to interest rates expected, savers should anticipate similar cuts to easy access and notice rates. It is crucial that when the time comes savers are willing to switch when more enticing deals enter the market. Fixed rates are continuing to drop and are significantly lower than they were a year ago; savers who are about to have their one-year fix expire can now expect to receive almost 1% less interest compared to the market-leader in July 2023. Despite this, savers should still make the most of current top rates as appetite to secure longer-term deals picks up and to keep on top of inflation and base rate for longer.

“Within the ISA market the top fixed rates have been volatile. Two- and three-year fixes have benefited the most with new market-leading rates, which may be positive news to those looking to make the most out of their ISA allowances for longer. But if consumers are comfortable with the risk associated with a variable rate then there are still a handful of competitive deals available paying around 5%. It is possible that a new Government may well decide to change existing tax savings allowances or policies, savers with bigger pots could see a cap put onto the amount that can be earnt tax-free. Many may be hopeful for the ISA allowance to rise from £20,000 as this has been unchanged for years, however, these changes are yet to be seen.

“It is as crucial as ever that savers keep monitoring their savings to ensure that they are being rewarded. In any case, savers should consider any relevant criteria to ensure the account is suitable for their needs.”

*Data note: Please note that these savings product numbers include deals that are available to UK residents (easy access accounts, notice accounts, fixed rate bonds, variable Cash ISAs, and fixed Cash ISAs) and exclude regular savers, children’s savers, variable rate fixed term bonds or ISAs, JISAs and LISAs, based on a £10,000 deposit, gross rates. Higher rates may be available for other levels of deposit.

Caitlyn Eastell, Spokesperson at Moneyfactscompare.co.uk, said:

“As inflation continues to soften its burden on savers’ pots, they may find that they can earn more cash in real terms, especially with recent fluctuations in the top rates offered. However, those investing in the longer-term will find that rates have remained steady. Both variable rate and fixed rate ISAs have seen an increase in average rates, whereas non ISA savings have seen a mixture of rises and falls across the board.

“Many flexible accounts have soared in the past year, largely due to the several consecutive base rate rises throughout 2023 and fairer competition championed by the FCA, which may be positive news for those less inclined to lock away their cash. However, with an imminent reduction to interest rates expected, savers should anticipate similar cuts to easy access and notice rates. It is crucial that when the time comes savers are willing to switch when more enticing deals enter the market. Fixed rates are continuing to drop and are significantly lower than they were a year ago; savers who are about to have their one-year fix expire can now expect to receive almost 1% less interest compared to the market-leader in July 2023. Despite this, savers should still make the most of current top rates as appetite to secure longer-term deals picks up and to keep on top of inflation and base rate for longer.

“Within the ISA market the top fixed rates have been volatile. Two- and three-year fixes have benefited the most with new market-leading rates, which may be positive news to those looking to make the most out of their ISA allowances for longer. But if consumers are comfortable with the risk associated with a variable rate then there are still a handful of competitive deals available paying around 5%. It is possible that a new Government may well decide to change existing tax savings allowances or policies, savers with bigger pots could see a cap put onto the amount that can be earnt tax-free. Many may be hopeful for the ISA allowance to rise from £20,000 as this has been unchanged for years, however, these changes are yet to be seen.

“It is as crucial as ever that savers keep monitoring their savings to ensure that they are being rewarded. In any case, savers should consider any relevant criteria to ensure the account is suitable for their needs.”

*Data note: Please note that these savings product numbers include deals that are available to UK residents (easy access accounts, notice accounts, fixed rate bonds, variable Cash ISAs, and fixed Cash ISAs) and exclude regular savers, children’s savers, variable rate fixed term bonds or ISAs, JISAs and LISAs, based on a £10,000 deposit, gross rates. Higher rates may be available for other levels of deposit.

Notes to editors

Pioneering financial comparison technology for over 35 years.

Moneyfacts Group plc is the UK’s leading provider of retail financial product data. Used by virtually every bank and building society in the UK, and supplied to the Bank of England, Financial Conduct Authority, Financial Ombudsman Service, HM Treasury, Prudential Regulatory Authority and UK Finance.

Our expert research team monitors the thousands of mortgages, savings, credit card, personal loan, business banking, life, pension and investment products in the UK.

Moneyfactscompare.co.uk is the financial product price comparison site, launched as Moneyfacts.co.uk in 2000 and rebranded to Moneyfactscompare.co.uk in 2023, which helps consumers compare thousands of financial products, including credit cards, savings, mortgages and many more. Unlike other comparison sites, Moneyfactscompare.co.uk shows whole of market data regardless of commercial bias, showing consumers a true picture of the best products based on the criteria they select.

We hope you find this press release insightful. We would appreciate a link back to Moneyfactscompare.co.uk if you decide to source this information.

For more information about us please see our key facts.

Broadcast

Our broadcast suite enables our finance experts to appear in-vision for television, and we regularly comment live on national and regional radio.

To arrange an interview for radio or television, please contact our press department. We have an in-house broadcast room.

 

Notes to editors

Pioneering financial comparison technology for over 35 years.

Moneyfacts Group plc is the UK’s leading provider of retail financial product data. Used by virtually every bank and building society in the UK, and supplied to the Bank of England, Financial Conduct Authority, Financial Ombudsman Service, HM Treasury, Prudential Regulatory Authority and UK Finance.

Our expert research team monitors the thousands of mortgages, savings, credit card, personal loan, business banking, life, pension and investment products in the UK.

Moneyfactscompare.co.uk is the financial product price comparison site, launched as Moneyfacts.co.uk in 2000 and rebranded to Moneyfactscompare.co.uk in 2023, which helps consumers compare thousands of financial products, including credit cards, savings, mortgages and many more. Unlike other comparison sites, Moneyfactscompare.co.uk shows whole of market data regardless of commercial bias, showing consumers a true picture of the best products based on the criteria they select.

We hope you find this press release insightful. We would appreciate a link back to Moneyfactscompare.co.uk if you decide to source this information.

For more information about us please see our key facts.

Broadcast

Our broadcast suite enables our finance experts to appear in-vision for television, and we regularly comment live on national and regional radio.

To arrange an interview for radio or television, please contact our press department. We have an in-house broadcast room.

 

Contact Us If you're looking for extra comment, a chart or more information, then please give us a call. We are always more than happy to help.
Rachel Springall Press Officer / Finance Expert
Caitlyn Eastell Apprentice Press & PR Assistant