Compare Cash ISA deals!
A Cash ISA can be a good way of saving money, as ISAs usually offer a higher interest rate than standard savings accounts, and is not subject to tax.
Deposit Plan Offer
Looking for a Capital Protected alternative to Cash?
Potential 28.75% after 4 years
- Potential 28.75% if the FTSE 100 rises by any amount after 3 years
- Equivalent to 7.19% per year
- 4 year term
- Available as cash ISA, non ISA or ISA transfer
- Capital Protected – receive your initial capital back at the end of the term no matter how the FTSE 100 performs
Account
Hampshire Trust Bank 1 Year Cash ISA
Interest Rate
4.46%
Gross/AER
Gross/AER
Term
1 Year
Minimum Deposit
£1
Account
Aldermore Bank 1 Year Cash ISA
Interest Rate
4.45%
Gross/AER
Gross/AER
Term
1 Year
Minimum Deposit
£1,000
Account
Aldermore Bank 2 Year Cash ISA
Interest Rate
4.38%
Gross/AER
Gross/AER
Term
2 Years
Minimum Deposit
£1,000
Account
Hampshire Trust Bank 2 Year Cash ISA
Interest Rate
4.25%
Gross/AER
Gross/AER
Term
2 Years
Minimum Deposit
£1
Account
Aldermore Bank 3 Year Cash ISA
Interest Rate
4.15%
Gross/AER
Gross/AER
Term
3 Years
Minimum Deposit
£1,000
Account
Nationwide 1 Year Triple Access Cash ISA
Interest Rate
Up to 4.00%
Gross/AER
Gross/AER
Term
1 Year, with option to make three free withdrawals
Minimum Deposit
£1
Account
Post Office Online 1 Year Fixed Rate Cash ISA
Interest Rate
4.00%
Gross/AER
Gross/AER
Term
1 Year
Minimum Deposit
£500
Account
NatWest 1 Year Cash ISA
Interest Rate
4.00%
Gross/AER
Gross/AER
Term
1 Year
Minimum Deposit
£1,000
Account
NatWest 2 Year Cash ISA
Interest Rate
3.80%
Gross/AER
Gross/AER
Term
2 Years
Minimum Deposit
£1,000
Account
Royal Bank of Scotland 1 Year Cash ISA
Interest Rate
4.00%
Gross/AER
Gross/AER
Term
1 Year
Minimum Deposit
£1,000
Account
Hampshire Trust Bank 5 Year Cash ISA
Interest Rate
3.75%
Gross/AER
Gross/AER
Term
5 Years
Minimum Deposit
£1
Account
Post Office Online 2 Year Fixed Rate Cash ISA
Interest Rate
3.65%
Gross/AER
Gross/AER
Term
2 Years
Minimum Deposit
£500
Account
Royal Bank of Scotland 2 Year Cash ISA
Interest Rate
3.80%
Gross/AER
Gross/AER
Term
2 Years
Minimum Deposit
£1,000
Account
Post Office Online Easy Access Cash ISA
Interest Rate
4.10%
Gross/AER
Gross/AER
Term
Instant Access
Minimum Deposit
£100
Account
Hampshire Trust Bank Online Easy Access Cash ISA
Interest Rate
4.10%
AER
AER
Term
Instant Access
Minimum Deposit
£1
Account
Aldermore Bank 30 Day Notice Cash ISA
Interest Rate
4.10%
Gross/AER
Gross/AER
Term
30 Day Notice
Minimum Deposit
£1,000
Account
Aldermore Bank Easy Access Cash ISA
Interest Rate
4.05%
Gross/AER
Gross/AER
Term
Instant Access
Minimum Deposit
£1,000
Account
Nationwide 1 Year Triple Access Cash ISA
Interest Rate
Up to 4.00%
Gross/AER
Gross/AER
Term
1 Year, with option to make three free withdrawals
Minimum Deposit
£1
Plan Name
MB UK 4Y 100 Growth Deposit Plan
Potential Return
28.75%
at end of term
at end of term
Term
4 years
ISA Option
Plan Name
MB UK 6Y Annual Step Down to 80 Kick Out Deposit Plan Y3
Potential Return
5.51%
per annum
per annum
Term
Up to 6 years
ISA Option
Plan Name
Goldman Sachs FTSE 100 Deposit Kick Out Plan
Potential Return
5.75% pa
Term
Up to 6 years
ISA Option
Plan Name
MB UK 4Y Annual Fixed Interest Deposit Plan
Annual Income
4.29%
fixed income per year
fixed income per year
Term
4 years
ISA Option
Plan Name
MB UK 4Y Monthly Fixed Interest Deposit Plan
Annual Income
4.23%
fixed income per year, paid monthly
fixed income per year, paid monthly
Term
4 years
ISA Option
Plan Name
MB UK 4Y 90 Growth Deposit Plan
Potential Return
24%
at end of term
at end of term
Term
4 years
ISA Option
Invest From
Any lump sum or £25 per month
Fund Choice
40,000+ UK and global stocks
Features
Low flat fee structure. Regular investing is free.
ISA Transfers
Important information: The value of investments can go down as well as up so you may get back less than you invested. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser. Tax treatment depends on individual circumstances and all tax rules may change in the future.
Invest From
£1
Fund Choice
Choose from a range of 36 funds and ETFs and 20 US stocks
Features
Select one of three simple starting options with a range of tracker funds or build your own investment portfolio by customising your investment options
ISA Transfers
Important information: The value of investments can go down as well as up so you may get back less than you invested. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser. Tax treatment depends on individual circumstances and all tax rules may change in the future.
Invest From
£25 per month or £1.50 per deal
Fund Choice
Over 2,000 funds, shares and more across 25 markets
Features
Manage your investments by providing a wealth of investment tools, videos, research and for customers with more than £4,000 in their account free access to Shares magazine.
ISA Transfers
Important information: The value of investments can go down as well as up so you may get back less than you invested. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser. Tax treatment depends on individual circumstances and all tax rules may change in the future.
Invest From
£25 per month or £100 single
Fund Choice
2,500+ funds
Features
Do-it-yourself or Ready-made-portfolios.
ISA Transfers
Important information: The value of investments can go down as well as up so you may get back less than you invested. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser. Tax treatment depends on individual circumstances and all tax rules may change in the future.
Cash ISA Deposit Limit
Opening a cash ISA is a good way to ensure that you make the most out of your money through a tax-free savings vehicle. The minimum deposit on some cash ISAs is £1, whereas in other cash ISAs, the deposit limit may vary depending on the deal. Cash ISAs that require a higher initial deposit, often offer a better interest rate is likely to be higher also, so you may enjoy a better return on your savings.
The amount of tax free savings you can put away into a cash ISA for the current tax year is £20,000. It is always important to compare cash ISA deals as much as possible so to ensure you find the best possible offer. You may wish to take a look at our cash ISA comparison tables for more information.
Depending on the type of cash ISA deal that is selected, these products can vary a great deal in terms of financial accessibility and the amount of interest they will earn. Instant access accounts for example tend to allow customers to access their money at short notice, but may have slightly reduced interest rates. Other accounts may not allow any access whatsoever for a set period, but will usually offer the greatest returns. Here are some examples of the pros and cons of cash ISA deals:
Pros
- The interest paid on your cash ISA is likely to be tax free (income tax and capital gains tax).
- You can choose between a range of cash ISAs, designed to suit the specific needs of individuals.
Cons
- You may be limited on the amount of tax-free savings you can put away each year
- After withdrawing from your cash ISA you may not be able to put away more savings if you have already paid the cash ISA
- deposit limit for that financial year.
What is a cash ISA?
A cash Individual Savings Account (ISA) is a tax-free savings account which allows you to save up to a set amount of money per financial year without paying any tax on it.
The cash ISA limit for the 2024/25 tax year is £20,000 per person and you need to be a UK resident or Crown employee aged 16 or over to open an account.
You can only have one cash ISA per tax year, but you can also have a different type of ISA, known as a stocks and shares ISA, simultaneously.
What are the benefits of a cash ISA
There are several key benefits to a cash ISA:
- No income tax – you don’t pay tax on any interest you earn from the cash in your ISA
- Easy access – if you choose an instant access cash ISA (rather than a fixed-rate cash ISA) it’s a convenient way to save at a good interest rate while retaining fast and easy access to your money, should you need it
- No need to declare – you don’t need to declare your cash ISA on your tax return
- Straightforward transfers – you can transfer your cash ISA to a different provider to get a better rate of interest.
How much can I save with a cash ISA?
The good news is that whatever your tax bracket, you’ll pay 0% tax on any savings held in a cash ISA. Compare this to the usual tax rates on savings:
- Saving rate taxpayers – you would usually pay 10% tax on interest earned from your savings. In a cash ISA this savings interest is tax-free
- Basic rate taxpayers – you would usually pay 20% tax on interest earned from savings. In a cash ISA this savings interest is tax-free
- Higher rate taxpayers – you would usually pay 40% tax on interest earned from savings. In a cash ISA this savings interest is tax-free
- Additional higher rate taxpayers – you would usually pay 50% tax on interest earned from savings. In a cash ISA this savings interest is tax-free.
How do I choose a cash ISA?
There are several factors to consider when choosing a cash ISA:
- Do you want easy access to your money? An instant access ISA might be the right choice for you, as long as you’re willing to accept a slightly lower rate of interest
- Are you happy to lock away cash for a set period of time? Fixed-rate cash ISAs might be a better option as they have the potential to offer a greater return long-term
- Do you have a lump sum to invest, or are you planning to make small regular payments? Different ISA providers offer different minimum deposits ranging from just one pound to several thousand pounds
There is no single ‘right’ cash ISA choice for everyone – it’s a case of weighing up the different factors and considering which product and provider best meets your overall needs.
6 Cash ISA Tips
- You can only have one type of cash ISA in each financial year, so research your options carefully. Whether you choose a fixed-rate or instant access cash ISA, give some thought to your savings goals beforehand to help you determine what’s right for you
- Remember that you can’t carry your tax-free allowance over from one financial year to the next – so if you’ve got enough cash to hit your limit, stash it in an ISA. The cash ISA allowance for the financial year 2024/25 is £20,000.
- Because a cash ISA operates on a year-long basis, it’s a good way to try your hand at saving without committing yourself to anything long-term. It’s also a great way to save for a specific event like a wedding, holiday, or starting a family
- Once you’ve set up your cash ISA, make sure you still keep an eye on the interest rates available from other providers. You can usually switch cash ISA providers without incurring any charge
- To make life easier, set up a direct transfer from your current account into your cash ISA to make sure that you put aside a certain amount each month without fail
- Don’t forget that you’ve got the option of opening a stocks and shares ISA, too. For more on this, see our page on stocks and shares ISAs.
Can I transfer my cash ISA to a new provider to get a better deal?
You are free to transfer your cash ISA at any time, making it easy to move your money around providers and ensure the most competitive rates.
But remember that if you withdraw your cash and then open another ISA, you will lose all your tax-free benefits.
To transfer an ISA without losing any tax benefits, ask your new ISA provider to arrange the transfer of funds on your behalf.