Half of savers doubt they're getting the best rates – 5 ways to check

Savings rates are the highest since 2024 and your choice of account has never been better. So why are so many of us worried they are getting a bad deal?

New survey data from LHV Bank found 53% of UK savers are not confident they’re receiving competitive returns. That's despite 95% saying they actively checked their balances and 69% knowing where all their money was being held.

So how do you know if your savings provider is paying you a good rate? Here are five key questions to ask yourself.

1. Can it beat inflation?

When inflation rises, your money buys less. If your savings account pays a lower interest rate than the rate of inflation (which hit 2.9% in July 2026), your cash is effectively losing value over time. 

Yet new research from Tesco Bank found that two in five adults don’t realise how inflation can erode their savings. The provider's own analysis found that if inflation were to remain at 2.9% for the next 12 months, £100 that you have in the bank today would buy you £97.18 worth of goods in a year’s time. 

If this were to continue over the next five years, the purchasing power of £100 today would be reduced even further to £86.68. 

Our analysis of Moneyfacts data on 19 August 2026 found that the vast majority (79%) of deals can beat the latest Consumer Price Index figure, but variable-rate products lag behind.

Just 59% of these deals, which include instant-access accounts, beat inflation. By contrast, 99% of fixed-rate bonds and 80% of cash Isas offer inflation-busting returns.

• Find out more: inflation-busting savings accounts

2. Is it competitive?

This one is a no-brainer, really. Despite rates steadily falling over the past couple of years, you can still grab a top deal of up to 5% AER.

While savings rates had been steadily dropping for months, they are now climbing again. That may be partly in response to providers second-guessing the impact the Middle East war will have on the UK economy.

This table shows the top instant-access and fixed-rate savings accounts, ordered by term.

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• Find out more: how to switch your savings account.
  

3. Is it a boosted deal?

Sometimes, the advertised interest includes a 'bonus' rate that expires after a set period of time.

For example, Cahoot's Sunny Day Saver offers a market-leading 5% AER, but that drops to a measly 1% after 12 months. Sidekick’s top cash Isa has a similar catch: its 4.61% rate includes a 1.38% bonus that lasts for just six months. 

The main risk with this type of deal is that if you don't keep track and switch when the bonus ends, you could end up earning far less interest than you might get elsewhere. 

Don’t forget, the overall rate could still change before the bonus expires if the standard rate is variable.

4. Are you getting less than you think?

Regular savers are accounts designed for building up your balance month by month – usually with a limit on how much you can pay in each month.

These accounts offer interest rates far higher than most other types of savings product. Santander's top one-year account, for example, pays an impressive 8% AER. But there is a catch. 

Even with high rates, the total interest earned can be less than you might imagine, because you build the balance gradually over the year.

For example, with the Santander account, if you save the maximum £200 a month for 12 months at 8%, you'll have paid in £2,400. But you'll earn only around £104 in interest.  That's because you don't have the full £2,400 in the account for the whole year – each monthly deposit earns interest for a different length of time. 

5. How reliable is the provider?

Competition among providers is fierce right now, with banks jostling for the top spot in an effort to quickly hit funding targets. But how likely is it you'll continue to get a decent rate with the same provider once its coffers have been filled?

Each year, we survey thousands of customers to find the best and worst savings providers. Not only do we rank them for customers service, we also analyse rates and give them an interest rate score to highlight those that offer consistently good returns.

Aldermore Bank, for example, currently offers the top rate of 4.61% for its four-year fixed-rate cash Isa. As this isn't a one-off, we gave Aldermore an interest rate score of 85% and named it a Which? Recommended Provider.

Kent Reliance and Charter Savings Bank ranked best for savings rates, receiving scores of 93% and 90%.

• Find out more: best savings accounts 2026