Best Cash Isas 2021: Where To Get The Best Cash Isa Rates And Deals

Our Savings Picks: These are Money’s five favorite Isas best cash deals — rates are starting to get higher, but none are better than inflation.

Our assistant editor Lee Boyce picks his five favorite cash Isas for savers in 2021 – essential information to help you choose the best savings account for your money.

This top Isa roundup keeps our readers up to date on the best savings deals since 2014 – and kept up to date throughout the year – bookmarking the very latest.

How an Isa works and why you should have one

Every April, savers receive a new Isa allowance that qualifies for tax-free interest.

For the 2021/22 financial year, beginning April 6, 2021, the limit is £20,000.

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You can transfer Isa money in any way you want from an investment account to a savings account, where previously you could only switch from saving to investing.

While Isas Cash currently doesn’t offer fantastic rates, it’s still worth opening one to keep money away from the IRS.

Under the Isa rules, you can only contribute to one Isa per tax year.

You can also transfer an old Isa for a better return. Here’s a short guide to saving Isa.

It is possible to exchange your current year’s Isa if you move the full amount, but it is much easier to make your choice right right away.

The rates are low and that makes the best Isa more important

Banks and mortgage banks should apologize to savers for the small supply on offer here.

The easily accessible best buy rate on a tax-free account has plunged below 1 percent for the first time, with no major bank close to the list.

It also comes at a time when inflation is rising, giving all savers a serious headache.

Savings rates are very bad right now and unfortunately institutions are doing little to protect savers from the onslaught of the low interest environment.

The coronavirus crisis that cut key interest rates to 0.1 percent, the launch of a new financing system to pump cheap money into banks and the expansion of quantitative easing have made matters worse.

Many now wonder why bother?

But when rates are low, it becomes even more important to make sure you get the most out of your savings.

We also think an Isa is still worth it, despite the new tax-free savings interest deduction of £1,000 per annum for base rate taxpayers and £500 for higher rate taxpayers.

It’s hard to get that much interest now, but interest will go up one day.

Money kept in an Isa will give you a tax free income even above that £1,000 level and if you build a long term pot you will one day be very grateful for it.

And who knows if the personal savings will be there forever – it’s much more likely to disappear than the Isa wrapper.

You may also want to look at the stock and stock version of an Isa – how to choose the best (and cheapest) Isa for DIY investment.


Our five favorite Isas collection is a regular part of This is Money.

It comes complete with an explanation explaining why we like to choose each account.

This page will be updated as new deals appear or old ones are scrapped.

Our team works tirelessly to stay on top of the latest rate changes, but banks and mortgage brokers can close deals without telling us.

If you see a deal here that is no longer available, please email

Remember that you can open an Isa or bank transfer at any time of the year (provided you are not tied to a specific term).

Keep in mind that we don’t just copy the best rates from the savings tables – we scour the market for all-round winners.

This is a taste of the top deals. For the best rates, visit our savings interest tables, which have been compiled extensively and independently.

Our five favorite Isas:

Cynergy Bank, Easily Accessible, 0.54% [full details]

– Facts: £1 to open

– Transfers in: Yes

– This is money says: After months of not having a single, easily accessible tax-free account that paid more than 0.5 percent, Cynergy Bank – formerly known as Bank of Cyprus – has now introduced this rate, with no bonus. It can only be accessed online and it has FSCS protection, just like all the accounts in this list.

Shawbrook Bank, one year fixed, 0.6% [full details]

– Facts: £1,000 to open

– Transfers in: Yes

– This is money says: If you want a little more interest, you can lock up for 12 months with Shawbrook Bank, located in Brentwood, Essex.

Shawbrook Bank, two year fixed, 0.85% [full details]

– Facts: £1,000 to open

– Transfers in: Yes

– This is money says: This is the best rate you can get for 24 months and it comes from Shawbrook too. All their accounts come with FSCS protection.

Cynergy Bank, three year fixed, 0.96% [full details]

– Facts: £500 to open

– Transfers in: Yes

– This is money says: Not only does Cynergy offer the highest rate for easy access, but it also has the highest three-year deal as flat rates once again move towards 1%.

United Trust Bank, five-year fixed, 1.11% [full details]

– Facts: £10,000 to open

– Transfers in: Yes

– This is money says: The overall best rate for an Isa is to be repaired until 2026 and you need £10,000 to open. There are a handful of other accounts on the five-year fix list that pay more than 1 percent.

What you need to know about Isas

Listen to our special Isa podcast – we’ll tackle the basics and have tips for experienced Isa savers or investors.

We also look at why investing is the best way to achieve inflation-reducing returns in the long run, how savers can take some precious extra interest off accounts, and why an Isa is worth it.

Press play to listen to the show above, or listen (and subscribe if you like the podcast) to Apple Podcasts, acast and audio tree or visit our This is the Money Podcast Page.