Moneyfacts UK Savings Trends Treasury Report data shows the quantity of savings providers on the market and product choice have hit new record highs, including cash ISAs. Average fixed bond and ISA rates now all sit below 4% for the first time since April 2023.
Product choice overall rose month-on-month to 2,274 savings deals (including ISAs), a record high. The choice of cash ISAs rose to 648 deals, a new record high and its seventh monthly rise. The number of savings providers overall rose to 154, up from 152 last month. The Moneyfacts Average Savings Rate fell to 3.50%, down from 3.51% month-on-month. It is down from 3.92% since August 2024, and lower than 4.14% in August 2023. The rate was last above 4% in January 2024 (4.04%).
The average easy access rate remained at 2.68%, still at its lowest level since July 2023 (2.41%). The average notice rate was unchanged at 3.62%, still at its lowest level since July 2023 (3.43%). The average notice rate pays 0.94% more than the average easy access rate. The average easy access ISA rate fell to 2.90%, now at its lowest level since August 2023 (2.86%). The average notice ISA rate was unchanged at 3.49%, which pays 0.59% more than the average easy access ISA rate, but remains at its lowest level since July 2023 (3.25%).
Average fixed bond and ISA rates, one-year and longer-term, now all sit below 4% for the first time since April 2023. Inflation is expected to rise to 4% in September. The average one-year fixed bond rate fell to 3.99%, the first time to fall below 4% in more than two years, now at its lowest since May 2023 (3.93%), while the average longer-term fixed bond fell to 3.88%, now at its lowest since March 2023 (3.86%).
The average one-year fixed ISA rate was unchanged at 3.95% and the average longer-term fixed ISA rate rose to 3.84%, the first rise since April 2025.
Savings market analysis – average rates
| Savings market analysis – average rates | |||||
| Aug-23 | Aug-24 | Feb-25 | Jul-25 | Aug-25 | |
| Average easy access rate | 2.80% | 3.14% | 2.90% | 2.68% | 2.68% |
| Average easy access ISA rate | 2.86% | 3.36% | 3.05% | 2.92% | 2.90% |
| Average notice rate | 3.83% | 4.30% | 3.99% | 3.62% | 3.62% |
| Average notice ISA rate | 3.64% | 4.22% | 3.92% | 3.49% | 3.49% |
| Average one-year fixed rate bond | 5.18% | 4.63% | 4.19% | 4.03% | 3.99% |
| Average longer-term fixed rate bond* | 5.00% | 4.13% | 3.97% | 3.91% | 3.88% |
| Average one-year fixed rate ISA | 5.00% | 4.46% | 4.08% | 3.95% | 3.95% |
| Average longer-term fixed rate ISA* | 4.91% | 4.08% | 3.94% | 3.82% | 3.84% |
Source: Moneyfacts Treasury Reports.
| Moneyfacts Average Savings Rate | |||||
| Aug-23 | Aug-24 | Feb-25 | Jul-25 | Aug-25 | |
| Moneyfacts AverageSavings Rate | 4.14% | 3.92% | 3.69% | 3.51% | 3.50% |
Source: Moneyfacts Average Savings Rate.
| Savings market analysis – product count | |||||
| Aug-23 | Aug-24 | Feb-25 | Jul-25 | Aug-25 | |
| Number of live savings account options (excluding ISAs) | 1,443 | 1,455 | 1,575 | 1,612 | 1,626 |
| Number of live ISA options | 518 | 569 | 582 | 641 | 648 |
Rachel Springall, Finance Expert at Moneyfacts, said:
“Savings product choice has reached a record high, and this has been largely fuelled over time by the increase of new challenger banks entering the market. New brands bring positive energy into the arena, as they typically fight harder for savers deposits to fund their future lending. However, with the Moneyfacts Average Savings Rate falling slightly to 3.50%, there is no denying that lower interest rates will dampen the sentiment of savers, but they must ensure to compare deals and switch regularly, and not to let apathy win.
“The lack of any significant moves to variable rates during July suggests perhaps a stalling approach from providers, which may well be expected. Murmurs circulated by economists for a cut to the Bank of England Base Rate, and this came to fruition earlier this month. The caution to reprice led to the average easy access rate remaining unchanged month-on-month at 2.68%, and it remains as one of the most popular types of savings account on the market. The average easy access cash ISA rate however did see a slight fall, but this space continues to see challenger banks test rate appetite, which can include hefty bonus rates. It is then perhaps inevitable to see the largest number of accounts with a bonus in more than a decade and the highest average bonus on all products on record.
“Due to concerns over falling interest rates, the popularly of fixed rate bonds might rise over the next few months. Providers have been cutting fixed rates due to fluctuations in swap rates, and anticipation for rates to head downwards in the months ahead. As a result, the average shelf-life of a fixed rate bond fell to 38 days, down from 44 days. Average rates across one-year and longer-term fixed bonds and ISAs now all sit below 4% for the first time since April 2023.
“After two months of substantial outflows in savings deposits, totalling £13.7bn for April and May this year, savers deposited £1.2bn into interest-bearing time deposits during June, according to the Bank of England. This movement was in the aftermath of a busy ISA season, where swarms of savers ploughed a record-breaking £14.3bn into cash ISAs during April, amid rumours of a cut to the tax-free allowance. It will be interesting to see whether more cash will be locked away in the coming months, particularly if savers rush to beat inflation which is expected to climb to 4% in September.”
