Want to earn free interest on idle cash? Sounds like a no-brainer, right?
Whether you're a large company or a freelancer, your business funds could be steadily growing while you get on with what's important. This is why you need a business savings account.
There's a long list to choose from, but we've whittled it down to a select few gems. Below, you'll find everything you need to know about account types, fees, rates, tax, and more. Oh, and of course, our honest reviews of the best business savings accounts.
Spoiler alert: Revolut Business takes the medal with its instant access and vast array of business tools. Find out who else made the cut...
Best Business Savings Bank Accounts - Our Recommendation
Best Business Savings Bank Accounts Reviewed
We reviewed business savings accounts for people with different priorities regarding access to money, interest rates, account management, and deposit size. Find the right account below.
Best Overall Business Savings Account: Revolut
Best Business Savings for Multi-currency Businesses: Wise
Best Business Savings Account for Mobile Users: Tide
Best for Easy Access Business Savings: Aldermore
Best in Combination with Current Account: Monzo
Best for Community Groups and Charities: Metro
Best Business Savings Accounts for Small Deposits: Virgin Money
Best for Significant Savings: Lloyds
Best Notice Accounts: NatWest
Best for Fixed-term Business Bonds: United Trust Bank
Best Easy Access for Small Pots: Shawbrook Bank
Best for Small Business Solutions and Savings: Recognise Bank
Best Business Savings Accounts for Large Deposits: Barclays Bank
Interest rates | 0%, 2.25%, 2.75%, 3.51% (depending on plan) |
---|---|
Minimum and maximum balance | Up to £2 million (Enterprise) |
Monthly fee | Basic: free, Grow: £19, Scale: £79, Enterprise: custom |
Regulation | FCA |
A Revolut account can meet all the financial needs of businesses of all sizes, from freelancers to large companies. Savings interest is paid daily at competitive rates with no restrictions on withdrawals. Easily set controls on who has access.
There are a ton of other features for Revolut Business users—multi-currency accounts including euros and US dollars, cards, spend management, payment gateways, analytics, invoices, payroll—the list goes on. The one downside is that savings aren’t available on the free plan.
- Interest is paid daily
- Plans to suit businesses of all sizes
- No withdrawal restrictions
- Loads of other business features
- Savings aren’t available on the free plan
- Monthly fee is higher than competitors
- Limited number of free transfers
Interest Rates | 4.67% on GBP, 3.66% EUR & 5.08% USD |
---|---|
Minimum and maximum balance | £1/no maximum |
Annual Fund Fee | 0.56% for GBP, 0.27% for EUR, 0.29% for USD |
Potential Charges | Opening an account: £45 Transaction and other fees apply to the current account |
Regulation | FCA |
Wise Business is not a typical business savings account. It's an all-around business account with the option to earn interest by investing in a fund of government-guaranteed assets. However, it could be the answer for people who work with international clients and sole traders.
The high-interest rate on three currencies, flexibility, and an array of business and budgeting tools make Wise Business worth considering. As Wise is not a bank, it doesn't have FSCS protection. However, your money is protected in partnership with Black Rock.
- High interest rate on three currencies
- Instant access to money
- Over 50 currencies
- 0.5% cash back on spending
- Accounting and budgeting software
- No FSCS Protection (Blackrock partner instead)
- Setup and fund fees
- Not a bank but an e-money institution
- No fixed-rate accounts
Interest rates | 4.33% |
---|---|
Minimum and maximum balance | £1 to £1 million |
Regulation | FCA |
Tide provides services to small businesses and freelancers through its user-friendly app. You can do everything from your mobile—make payments, send invoices, build credit, apply for loans, get insights. And, of course, you can open a Tide Instant Saver Account.
It’s totally flexible with no withdrawal restrictions, and interest paid monthly. There are no monthly fees, but you’ll need a Tide current account in order to fund the Tide Instant Saver. You can view all your accounts and transaction history in the app.
- Easy access with no withdrawal restrictions
- Competitive interest and no monthly fees
- Free features like invoicing
- Super convenient mobile app
- You can only deposit money from your main Tide account
- 20p charge per transfer to Tide from an external account
- Older Tide members have to join the waiting list
Interest Rates | 3.66% (easy access), 4.6% (fixed rate) |
---|---|
Minimum and maximum balance | £1,000 - £1,000,000 |
Regulation | FCA |
Aldermore’s award-winning Easy Access Account has some of the highest interest rates on the market at 3.66% AER. This, combined with its flexibility and fee-free withdrawals at any time and without notice give it everything an easy-access business saver needs.
Simply apply online with a minimum deposit of £1,000. The bank also offers a fixed-rate business savings account with a competitive interest rate of 4.6%. Plus, Aldermore offers bespoke savings solutions for corporate deposits over £1 million.
- High interest rate
- Easy setup and control over user levels and access
- You can manage it online, by post, or telephone
- Free standard services
- Outstanding reviews
- Not the highest interest on the market (but almost)
- No business current account
- No business notice accounts
- No in-branch experience in most of the UK
Interest Rates | Up to 1.6% AER |
---|---|
Minimum and Maximum Balance | £1/ £100,000 maximum |
Monthly Fee | £5 Pro, £0 Lite |
Regulation | FCA, PRA, FSCS |
The new Monzo Business Instant Savings Pots are great for small business owners or sole traders who want to manage everything in one intuitive app. With this package, you don’t get the highest interest rate. But you do get scheduled regular payments, tax pots and savings pots to review your business finances in one place. You'll also get some of the best tools among online-only banks.
However, you cannot have this as a separate account from Monzo Business, which does not have an overdraft. So keep that in mind if you’re thinking about switching.
- Easy management in combination with the entire Business package
- The app is super easy to use
- 24/7 customer support
- Schedule regular deposits
- No minimum balance
- Interest rates are somewhat low
- No fixed-rate or notice accounts
- Maximum balance of £100,000
- Not the best for people who work with international clients
Interest rates | 1.2% (instant access), 1.8-3.7% (fixed term), 1.85-2.35% (notice) |
---|---|
Minimum and maximum balance | At least £1 (instant access), at least £5,000 (fixed term) |
Regulation | FCA |
Among Metro Bank’s business savings accounts are some accounts designed specifically for community groups and charities. Choose an instant access deposit account for full control over your funds or a fixed-term deposit account for higher interest rates if you don’t touch your funds for a year.
There are also business notice accounts with notice periods of 35, 60, 0r 95 days. Head into a store to start opening an account. There are no monthly or setup fees.
- Choose between instant access, fixed-term, or notice
- No monthly fees or setup costs
- No appointment needed to start opening an account
- No maximum balance
- £5,000 min balance for fixed-term accounts
- £15 fee for issuing a banker’s cheque
Interest rates | 1.35-3.8% (instant access), 3-4.5% (notice), 1.9-5.15% (fixed term) |
---|---|
Minimum and maximum balance | Cash Management: £1/ no maximum Instant Access: £1/ £2 million maximum |
Regulation | FSCS, FCA, PRA |
Fixed-Rate and Easy Access Virgin Money savings accounts let you deposit as little as £1 and require no more than that to open an account. For comparison, Aldermore requires £1,000 to open an easy-access saver.
When it comes to eligibility, companies with fewer than 250 employees and a total balance of less than £36.5 million or turnover of less than £42.5 million are considered SMEs and are eligible for a Virgin Money Business Savings Account.
You also get plenty of choice, with 4 types of notice accounts and 7 fixed-term accounts.
- Minimum deposit is £1
- Online management 24/7
- Standalone and full (+current) banking accounts available
- No fees
- Notice accounts require larger deposits
- Standalone accounts aren't linked to the app
- Standalone accounts are non-payment
- SMEs only
Interest rates | 1.3-1.9% (instant access), 2-4.37% (fixed term), 2.6-4% (notice) |
---|---|
Minimum and maximum balance | At least £1 (instant access), £10,000 to £5 million (fixed term & notice) |
Regulation | FCA |
While any business or sole trader can open an instant access account at Lloyds, you’ll need at least £10,000 to open a fixed-term or notice account. You can choose a 32- or 95-day notice account with interest of 2.6% and 4%, respectively.
There are 3, 6, 9, and 12 month fixed-term accounts, as well as accounts with fixed maturity dates and interest up to 4.37%. Although you can only deposit a maximum of £5 million in these accounts, there are no such limits for instant access accounts. The monthly interest for instant access accounts depends on your balance, with balances of over £10 million earning 1.9%.
Pros
- Lots of choice of fixed terms
- Fixed-term and notice interest rates are very competitive
- No balance limits for the instant access account
- Savings strategy tool to help you pick an account
- £10,000 minimum deposit for fixed-term and notice accounts
- Instant access interest rates are lower for lower balances
Interest Rates | 1.46-1.92% (instant access), 3.25-4.25% notice |
---|---|
Minimum and Maximum Balance | No minimum/maximum |
Regulation | FSCS, FCA, PRA |
NatWest notice accounts are great for people who don’t want to get a fixed-rate savings account, but want a higher interest rate. The 95 Days Notice Liquidity Manager Account has one of the highest interest rates in this category, coming in at 4.25%. These are ideal for people who want to deposit large sums of money to a business savings account, but may need the money in the medium term or want to prevent impulse purchases.
Natwest business banking reaches its full potential once you combine business current and savings accounts and get a wide choice of free tools.
- In branch banking available
- One of the highest interest rates for a 95 day notice account
- Good overall business banking
- No fees
- Early withdrawals not permitted
- Other savings accounts’ interest rates are not as competitive
- Customer support needs improvement
Interest Rates | 4.3-4.99% (fixed-term bonds) 3.75-5% (notice), 5.25% (tracker) |
---|---|
Minimum and maximum balance | £5,000 - £1 million |
Regulation | FSCS, FCA, PRA |
United Trust Bank Limited may still need to perfect its functionalities in terms of developing an app and improving online business banking. But it makes up for this with excellent customer support and highly competitive interest rates. It offers 8 different business bonds with fixed terms from 3 months to 5 years. They start at 4.99% AER—not bad at all.
You can also choose a tracker account or a 40, 100, or 200 day notice account. So if you have a business current account elsewhere, the interest rates certainly pay off.
- Industry-leading interest rates
- Highly-rated
- Outstanding customer support
- Awarded Best Overall Business Savings Provider in 2023
- Managed by email, phone and post only
- No app at the time of writing
- Setup is a bit complicated
- No business current account
Interest Rates | 3.66% (easy access), 3.76-4.51% (notice), 5.02-5.03% (fixed rate) |
---|---|
Minimum and Maximum Balance | £1,000 to £85,000 (easy access), £5,000 to £2 million (notice or fixed rate |
Regulation | FCA, PRA, FSCS |
Shawbrook’s interest rate on easy access business savings sets this account apart from the rest. If you have a smaller pot of money you wish to increase while keeping access, this is the account for you.
However, if you want to deposit sums above £85,000 and want instant access, you may want to look into Aldermore. Shawbrook's notice and fixed-rate accounts come with a much higher deposit limit. Plus the interest rates are some of the best on the market.
- One of the highest interest rates
- Excellent reviews and customer support
- Choose between annual and monthly interest
- Easy online setup
- Not available to charities and trusts
- No current account
- Interest drops to 0.05% if your balance falls below minimum
- Minimum withdrawal amount £500
Interest Rates | 3.15-3.55% (easy access), 4.1-4.5% (fixed), 3.15-4.5% (notice) |
---|---|
Minimum and Maximum Balance | £1,000 to £250,000 maximum |
Regulation | FCA, PRA, FSCS |
Recognise Bank offers tailored financing options for small businesses as well as savings accounts which have excellent reviews. Small businesses looking for a Business 95-Day Notice Account account can enjoy a high-interest rate of 4.3%. The notice accounts have notice periods of up to 180 days, and, unusually, as short as 7 days.
The main benefit of Recognise Bank is its efficiency. It offers a quick and simple online setup with regular deposits and great customer service.
- Outstanding reviews
- Effective customer support
- Simple online setup
- Good interest rates
- Bank tailored for SMEs
- SMEs only
- No current account
- There are limits on deposits
Interest Rates | 1.51% - 1.96% (instant access) |
---|---|
Minimum and Maximum Balance | £0/ £50 million maximum |
Regulation | FCA, PRA, FSCS |
The Barclays Business Savings Account is ideal for large corporations who want to keep large sums of money in a bank with a long history and market resilience. It is designed to handle large sums of money with its £50 million maximum balance.
Withdrawals aren’t restricted in size or frequency, and the same goes for deposits, making it perfect for larger businesses.
- Experience with large corporations
- Long tradition and stability
- Interest rates are tiered
- £50 million maximum balance
- Has a business current account
- In-branch management available
- Somewhat lower interest rates
- Poor customer support reviews
- Not the best rates for fixed-term savings
- Need to have a Business Current Account
How We Review the Best Business Savings Bank Accounts
To help you pick the right business savings bank account, we evaluated the leading providers and put together the above list based on the following criteria:
Interest rates – High-interest rates are a must for anyone who wants their savings to grow. While choosing the accounts, we gave priority to those with good interest rates.
Minimum and maximum balance – Opening and maintaining a business savings account usually requires a minimum balance. We included accounts with different minimum balance requirements to satisfy different businesses.
Functionality – Handling one’s business finances is a challenge, so we included UK banks that offer different features and tools that help business owners keep control over their finances.
Regulation – All the vendors on our list are regulated and authorised by the Financial Conduct Authority and the Prudential Regulation Authority.
Protection – Apart from this, most providers also come with FSCS protection of up to £85,000 for extra safety. An exception is Wise which instead partnered with established financial institutions to keep your money protected.
Now, let’s take a look at how business savings accounts work, what types there are, and who can and should open a business saver.
What are business savings accounts?
In many ways, business savings accounts are similar to personal savings accounts. They can help you save for improving your business or grow your cash for extra financial safety. Moreover, they let you grow your surplus business funds at higher interest rates than business current accounts.
There’s a variety of business savings accounts covering all business sizes and needs. Their differences lie in ease of access, term length, and interest rate. As a rule, the interest tends to be higher the longer you decide to keep your money tucked away.
Let’s move on to the different types of accounts.
The types of business savings accounts
There are three different types of business savings accounts:
Easy (or instant access) business savings account
Fixed-rate (or fixed-term) business savings account
Notice business savings account
Here’s what each of them offers:
Easy access savings account
Fixed rate savings account
Notice savings account
Do I need a business savings account…
…If I own a limited company?
If you own a limited company, you are required to have a separate business current account, as your business is legally considered a separate entity. In this case, it may be useful to have a business savings account, too.
Not only are business savings a liquid asset — but the added interest rate can help maintain the value of your cash.
As a limited company owner, you can only legally use it for business savings i.e. you can only move funds to your business savings account from your business current account.
…If I’m a sole trader?
On the other hand, if you’re a sole trader, you are not legally required to separate your personal and business finances — your business is not a separate entity.
However, keeping all your funds in your personal account may make handling your finances more difficult. In this case, opening a business current account and a business savings account can help you manage and grow your money.
Finally, if you still aren‘t sure, check what current bank accounts for self-employed people offer and if it covers your needs.
If you own a business account as a sole trader, you are allowed to move funds between your personal and business accounts.
What are the eligibility criteria?
To open a business savings account, you need to meet the following criteria:
Your business is based in the UK
All owners, directors, and account users are at least 18 years old
You have a business current account
Note that the business current account need not be with the same provider. However, you will need to provide account details so the bank can link the two accounts.
Business savings account rates
A business savings account will let you earn interest on your surplus money, which makes it much better for safekeeping than a business current account.
However, since 2016, financial institutions have been paying gross interest, meaning they do not automatically deduct 20% in tax anymore.
This means you will have to report interest on your annual tax assessment and make the deductions yourself if necessary.
Sole traders are only liable to pay tax for any money above £12,570 or your standard personal allowance.
Limited businesses pay corporation tax on any profits including interest on business savings. Interest is advertised as gross, so you need to deduct the tax yourself.
Business Savings Bank Accounts: Common Charges
Here is what you can expect your business savings account to cost:
Monthly fee – Usually no monthly or annual fee for business savings accounts
CHAPS electronic payments – Typically cost about £20 per transfer
Duplicate account statement – online ordering can be free, and duplicates can range from £5 to around £10
Same day faster payment – usually around £5
Audit request on account – around £25
Unpaid cheques – around £10
Banks should notify you of any charges when you set up the account.
How To Find the Best Business Savings Account In 2024
The right business savings account for your company will depend on your flexibility needs, the interest you are looking for, your account management needs, and the minimum and maximum balance the account allows. Here’s what to pay attention to:
High-interest vs flexibility
Savings accounts with more flexibility and easier access to money typically come with lower interest rates. While an easy-access account may not have the best rate, you will have your money at hand. On the other hand, a fixed-term account means you cannot withdraw your money before the set term expires. You'll get more interest but you could face financial difficulties if you suddenly need cash.
Account management
Account management can be done by post, phone, online banking, app or in person, and not all providers offer all of the options. While most banks offer online banking, some do not or they do not have apps yet. On the other hand, some let you handle everything through a simple app so check your options before you decide.
Minimum balance
While some banks do not have a minimum balance for opening an account, others have balances ranging from £1,000 to £100,000, depending on the account. There can be fees or decreases in the interest rates if the balance falls below this threshold.
Maximum balance
Depending on the size of your company, some savings accounts’ maximum balances might be too restrictive. However, if you do cross the maximum balance limit, the extra money will simply be returned to your nominated account. The limits can range from £85,000 to £50 million, while some accounts have no maximum balances.
Business Savings Accounts – A Recap
The table below offers all the info you need for a quick comparison:
Account name | Minimum opening balance | Interest rates | |
---|---|---|---|
Revolut | Revolut Business | £0 | Up to 3.51% AER |
Wise | Wise Business Interest | £0 | 4.67% |
Tide | Tide Instant Saver Account | £1 | 4.33% AER |
Aldermore | Easy Access Account | £1,000 | 3.66% AER |
Monzo | Monzo Business Instant Savings Pot | £0 | 1.60% AER |
Metro Bank | Community Fixed Term Deposit Account | £5,000 | 3.70% AER |
Virgin Money | 2-Year Business Fixed Rate Savings Account | £1 | 4.00% AER |
Lloyds | 95 Day Notice Account | £10,000 | 4.08% AER |
NatWest | 95 Days Notice Liquidity Manager Account | £0 | 4.25% AER |
United Trust Bank | Business 3-Year Bond Account | £5,000 | 4.15% AER |
Shawbrook Bank | Easy Access Business Account | £1,000 | 3.66% AER |
Recognise Bank | Business 95-Day Notice Account – Issue 2 | £1,000 | 4.30% AER |
Barclays | Business Premium Account | £0 | 1.51% - 1.96% AER |