Best ISA’s, easy access and fixed savings accounts paying interest up to 5.4%

Following the 12 consecutive Base Rate hikes – and the prospect of even more in the near future – high street banks and building societies have been increasing interest rates across products to offer savers better returns.

There are a number of different savings accounts suitable for a variety of circumstances and savings expert Lucinda O’Brien has pulled together some of the top rates on offer today.

Money.co.uk’s Ms O’Brien said: “Interest rates on savings accounts continue to grow this week with variable rates increasing alongside fixed rates. The top easy access accounts are now at four percent with Coventry Building Society and The West Brom both offering this rate.

“However, they do come with some restrictions as you can only make a certain number of withdrawals a year, so it’s always worthwhile to check all the terms and conditions before signing up for a savings account.”

Elsewhere, Ms O’Brien said: “The top fixed-rate bonds remain above five percent with Recognise Bank offering a three-year fixed-rate bond at 5.4 percent AER. Remember, this rate does come at a price as you won’t be able to access your savings until 2026.”

READ MORE: Millions of Nationwide customers will get £100 boost from today

Here are the top rate easy access, fixed rate and cash ISA accounts on offer today.

Easy access savings

Easy access accounts are typically more flexible, as these allow savers to make payments and withdrawals with minimal restrictions and with small opening deposit requirements.

Topping the leader board of easy access savings accounts offering the highest interest rate are Coventry Building Society and West Brom Building Society with their limited access accounts at four percent.

Coventry Building Society’s Four Access Saver (online) account can be opened online with any amount from £1 and savers can choose from annual or monthly interest. However, The account offers only four withdrawals every 12 months starting from the day the account is opened, with any additional withdrawals subject to a charge equal to 50 days’ interest.

West Brom Building Society’s Double Access Account (Issue Two) can be opened with a minimum deposit of £1 and interest can be paid annually on March 31 or monthly on the last working day of the month. People can make up to two withdrawals each account year without charge or notice.

Cash ISAs

Cash ISAs are a particularly popular option, as these accounts enable savers’ money to grow without having to pay tax on the interest above the Personal Savings Allowance (PSA). However, some ISAs can come with a few more restrictions, like penalty charges for early access or transfers.

For those who need instant access to their cash ISA, Principality Building Society’s Online ISA tops the list with an AER of 3.75 percent. The account can be opened with a minimum deposit of £1 and withdrawals can be made at any time.

For those looking for a fixed rate, UBL UK is topping the list for both one-year and two-year fixed ISAs with AERs of 4.64 percent and 4.71 percent. The accounts can be opened with a minimum deposit of £2,000 and early withdrawal charges of 90 days and 180 days’ interest will be charged.