Best savings accounts of the week: Savers urged to ‘review interest rates’ as banks offer 8% deals

In recent years, savers have been able to take advantage of the Bank of England’s decision to raise the base rate to as high as 5.25 per cent.

This has been done to ease the impact of consumer price index (CPI) rate of inflation, but the central bank’s Monetary Policy Committee (MPC) slashed interest rates to 4.5 per cent this month.

As such, analysts are urging Britons to snatch the best savings deals as soon as possible before high street banks and building societies change their deals.

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Best regular savings accounts

Here is a list of the best regular savings accounts currently on offer for the week beginning February 24, 2025:

• Principality BS – Eight per cent AER / 7.85 per cent Gross
• The Co-operative Bank – Seven per cent AER / Gross
• Nationwide BS – 6.50 per cent AER / Gross
• NatWest – 6.17 per cent AER / Six per cent Gross
• Royal Bank of Scotland – 6.17 per cent AER / Six per cent Gross
• West Brom BS – Six per cent AER / Gross
• Progressive BS – Six per cent AER / Gross
• Market Harborough BS – Six per cent AER / Gross
• TSB – Six per cent AER / Gross
• Principality BS – 5.60 per cent AER / Gross.

Best fixed-rate savings accounts

Here is a list of the best savings accounts on offer with a one-year fixed-rate interest rate attached for the week beginning February 24, 2025:

• ICICI Bank UK – 4.65 per cent AER / Gross
• Oxbury Bank – 4.65 per cent AER / Gross
• SmartSave – 4.61 per cent AER / Gross
• Zenith Bank (UK) Ltd – 4.60 per cent AER / Gross
• Secure Trust Bank – 4.60 per cent AER / Gross
• Close Savings Bank – 4.58 per cent AER / Gross
• MBNA – 4.57 per cent AER / Gross
• The Co-Operative Bank – 4.57 per cent AER / Gross
• Zopa – 4.55 per cent AER / Gross
• ICICI Bank UK – 4.55 per cent AER / Gross

The Bank of England has been making changes to interest rates

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Best cash ISAs

Here is a full list of the best cash ISAs with a one-year fixed interest rate attached currently on offer for the week beginning February 24, 2025:

• OakNorth Bank – 4.46 per cent AER / Gross
• Secure Trust Bank – 4.45 per cent AER / Gross
• Charter Savings Bank – 4.42 per cent AER / Gross
• UBL UK – 4.41 per cent AER / Gross
• Hampshire Trust Bank – 4.41 per cent AER / Gross
• Zopa – 4.40 per cent AER / 4.31 per cent Gross
• Hodge Bank – 4.39 per cent AER / Gross
• Close Brothers Savings – 4.39 per cent AER / Gross
• Kent Reliance – 4.39 per cent AER / Gross
• Cynergy Bank – 4.35 per cent AER / Gross.

Here is a full list of the best cash ISAs with a variable interest rate attached currently on offer for the week beginning February 24, 2025:

• Chip – 5.25 per cent AER / 5.13 per cent Gross
• Plum – 5.05 per cent AER/ 4.98 per cent Gross
• Moneybox – 5.00 per cent AER / Gross
• Trading 212 – 4.90 per cent AER / 4.78 per cent Gross
• Monument Bank – 4.76 per cent AER / 4.66 per cent Gross
• Principality BS – 4.70 per cent AER / 4.70 per cent Gross
• Tipton & Coseley BS – 4.65 per cent AER / 4.65 per cent Gross
• West Brom BS – 4.60 per cent AER / 4.60 per cent Gross
• Tipton & Coseley BS – 4.60 per cent AER / 4.60 per cent Gross
• Kent Reliance – 4.56 per cent AER / Gross.

Best easy access savings accounts

Here is a full list of the best easy access savings accounts without a bonus attached for the week beginning February 24, 2025:

• cahoot – 4.75 per cent AER / Gross
• Monument Bank – 4.75 per cent AER / 4.65 per cent Gross
• Coventry BS – 4.66 per cent AER / Gross
• West Brom BS – 4.65 per cent AER / Gross
• Vida Savings – 4.63 per cent AER / Gross
• Atom Bank – 4.60 per cent AER / 4.51 per cent Gross
• Buckinghamshire BS – 4.60 per cent AER / Gross
• Charter Savings Bank – 4.57 per cent AER / Gross
• Kent Reliance – 4.56 per cent AER / Gross
• Yorkshire BS – 4.55 per cent AER / Gross.

Here is a full list of the best easy access accounts with a bonus attached for the week beginning February 24, 2025:

• Sidekick Money – 4.75 per cent AER / 4.64 per cent Gross
• Principality BS – 4.70 per cent AER / Gross
• Chip – 4.58 per cent AER / 4.48 per cent Gross
• Chase – 4,50 per cent AER / 4.41 per cent Gross
• Nottingham BS – 4.50 per cent AER / Gross
• Post Office Money – 4.40 per cent AER / Gross
• Cynergy Bank – 4.30 per cent AER / Gross
• Marcus by Goldman Sachs® – 4.30 per cent AER / 4.22 per cent Gross
• SAGA – 4.30 per cent AER / 4.22 per cent Gross
• Tesco Bank – 4.30 per cent AER / Gross.

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Rachel Springall, a finance Expert at Moneyfactscomparecompare, shared: “Savers may be pleased to see that relentless rate cuts have calmed over the past week across the top rate tables for fixed rate bonds and fixed rate Cash ISAs. It remains prevalent for savers to compare deals frequently and act quickly if they want to grab a competitive rate.

“Challenger banks continue to offer the most attractive savings rates in the market, but we have seen some brands adjust their positions to catch up with their peers. Hodge Bank moved to cut the rates on its fixed rate bonds across one, two and three-year terms this week.

“ISA season kicked off early with some decent deals recently, and the past week has continued this positive trend, albeit with only a handful of providers.

“Outside of fixed bonds and Cash ISAs, there more providers catching up to cuts by the Bank of England, with Chase reducing the rate on its easy access account to 4.50 per cent AER. Moneybox also decided to cut its 95-day notice account rate, subsequently dropping out of the top rate tables.

“Those savers looking to instil the savings habit will find a regular savings account as a useful option. The top regular saver remains on offer from Principality Building Society at eight per cent fixed for six months.

“Whichever account savers decide on, it is imperative to ensure they stay within their Personal Savings Allowance (PSA) and take advantage of their ISA allowance to protect their hard-earned cash from tax.

“Now is the time for savers to shake any apathy and review any rates that could be susceptible to rate cuts. As proven, loyalty doesn’t pay and there are lots of brands out there offering competitive returns that are fully protected by the FSCS (Financial Services Compensation Scheme), just as the big banks are.”