Personal savings allowance

You may get up to £1,000 of interest tax-free depending on which income tax band you're in.  This is your personal savings allowance.
Tax YearBasic rate taxpayerHigh rate taxpayerAdditional rate taxpayer
2023/2024 £1,000 £500 Nil
2022/2023 £1,000 £500 Nil
2021/2022 £1,000 £500 Nil
2020/2021 £1,000 £500 Nil
2019/2020 £1,000 £500 Nil
2018/2019 £1,000 £500 Nil
2017/2018 £1,000 £500 Nil
2016/2017 £1,000 £500 Nil

The allowance applies to interest from:

  • bank and building society accounts
  • savings and credit union accounts
  • unit trusts, investment trusts and open-ended investment companies
  • peer-to-peer lending
  • trust funds
  • payment protection insurance 
  • government or company bonds
  • life annuity payments
  • some life insurance contracts

Savings already in tax-free accounts like Individual Savings Accounts and some National Savings and Investments accounts do not count towards your allowance.


This website is intended for financial advisers only and shouldn't be relied upon by any other person. If you are not an adviser please visit

The Royal London Mutual Insurance Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm is on the Financial Services Register, registration number 117672. It provides life assurance and pensions. Registered in England and Wales number 99064. Registered office: 55 Gracechurch Street, London, EC3V 0RL.