The best one-year fixed savings accounts – earn up to 4.91%
One-year fixed savings accounts are offering inflation-beating rates of up to 4.91%. We've rounded up the best deals available on the market now.
All the financial institutions we feature are protected by the Financial Services Compensation Scheme (FSCS), meaning up to £120,000 of your savings are protected should a bank go bust.
Fixed savings accounts, or fixed-rate bonds, are different from easy-access savings accounts as they let you earn high interest by locking your cash away for a fixed period.
These accounts can be ideal for anyone hoping to earn interest on their savings at a rate that’s guaranteed for a fixed period of time.
However, with the Bank of England holding interest rates at 3.75% in its June meeting, fewer fixed-term bonds can now beat inflation.
If you lock in your savings for a year, you can earn up to 4.91% interest. We list the best accounts on the market below.
We round up the best savings rates in a separate guide.
- The best one-year fixed rate is 4.91% AER with Market Harborough BS.
One-year fixed savings accounts
Marcus by Goldman Sachs 1 Year Fixed Rate Saver – 4.6% AER
Savers willing to lock their cash away can now earn 4.9% for one year with Marcus, a savings account by Goldman Sachs. You can put up to £250,000 in the account within the first 14 days of opening the account. Note that a maximum of £120,000 is protected under the FSCS. The account can be opened online.
MBNA Fixed Saver 1 Year – 4.85% AER
You will need to pay a minimum deposit of £1,000 to open this account, and the most you can save is £750,000. However, it's worth keeping in mind that only up to £120,000 will be protected by the FSCS. You have to fund the account within the first 14 days. Interest is paid on maturity. The account can be opened online and managed by telephone.
thisbank Fixed-Term Savings Account – 4.82% AER
You can earn 4.82% with this fixed saver from thisbank. The account can be opened with just £100, which you'll need to add within 14 days of submitting your application. You can save up to £500,000, but only £120,000 is FSCS-protected. Interest is paid at maturity, and the account can be opened online.
StreamBank Fixed Rate Account – 4.81% AER
You can earn 4.81% AER with Stream Bank if you open the saver with £1,000. You can save up to £120,000. Interest is paid at maturity. The account can be opened online.
AlRayan Bank Meteor Savings 1 Year Fixed Term Deposit – 4.8% AER
You can open this fixed saver through Meteor Savings, a savings provider. The savings account comes with a 0.15% boost, making your effective rate 4.8% AER and the top-paying deal on the market currently. You can save between £1,000 and £1 million. However, only £120,000 will be eligible for FSCS protection. Interest is paid at maturity.
Union Bank of India (UK) Ltd Fixed Rate Deposit – 4.76% AER
This one year fixed saver by Union Bank of India (UK) is offering 4.76%. To open this account, you can start saving with £1,000 and deposit a maximum of £1 million. Interest is paid annually when your account matures. You can open the saver in branch or by post.
GB Bank 1 Year Fixed Rate Bond – 4.73% AER
Earn 4.73% with this saver and open this account with a minimum £1,000 deposit. You can save up to £100,000. The account can be opened online, and you have up to 21 calendar days to deposit your funds. Interest is paid at maturity.
Close Brothers Savings Fixed Rate Bond – 4.8% AER
With Close Brothers Savings, you can save between £10,000 and £2 million per account, but note that only £120,000 of the sum will be protected under the FSCS. The account can be opened online, but you can also manage it via post or over the phone. Interest is paid at maturity.
Penrith BS 1 Year Fixed Rate E-Bond – 4.7% AER
This account from Penrith BS can be opened by saving anywhere between £5,000 and £120,000. You will have 14 days to fund the account. Interest is paid at maturity, and the account can be opened online.
Recognise Bank 1 Year Fixed Rate Account – 4.7% AER
This Recognise Bank fixed saver pays 4.7% interest on its fixed saver. You can deposit between £1,000 and £120,000, and the account can be opened online. Interest is paid at maturity.
UBL UK 1 Year Fixed Term Deposit – 4.68% AER
This one-year fixed savings account pays 4.68% interest, and you have to stash between £2,000 and £1 million to qualify for the rate. You have ten calendar days to fund your account in order to secure the rate. The account can be opened and managed online, via post or in a branch. Interest can be paid monthly or annually.
Is a fixed savings account right for me?
If you’re happy to lock your money away for longer, you have the option of two or five-year fixed-rate accounts which might offer a better interest rate.
“However, if you’re looking to save for five years or more, investing gives you a better growth potential as you benefit from compounding and you have a stronger chance of making your money grow and beating inflation. But investing is not risk-free and it can take time for your money to grow,” says Kalpana Fitzpatrick, MoneyWeek’s senior digital editor and author of Invest Now.
Once a fixed period ends, you will have to open another account – either with the same bank or elsewhere. It is also worth noting that if you fix an account and interest rates go up, you will be stuck with the rate you have until the fixed period ends.
