High interest savings account

[WooWooOwl]

Can anyone recommend a high interest savings account with easy access please?

I need an account that will allow me to access the money about (£50k) as I will be spending it on home improvements within the next year, but obviously I'd like the money to work as well as possible while it's waiting.

[specialsubject]

there are no high interest accounts in the UK at the moment. Real inflation is a lot higher than the stats would have you believe and all savers are losing money. Savers are dirt by government policy.

the best you can do is with current accounts, believe it or not. Here are your options. It is a fair bit of faff because the account limits are so low. These are all normal current accounts, so money can be accessed instantly, and you will get an avalanche of debit cards. Refuse the cheque books and set all statements to online only.

ready? Make yourself comfortable...

Open 3 TSB enhance accounts, each will pay 3% on 5k. Open their classic plus which pays 5% on £2k. This will take about an hour in branch if you are not already a customer. Set them up for £1000 a month paying in - the same money goes round them all by standing order. With online banking this doesn't take long to do.

if you have a partner, get them to do the same. If you don't...

Open 3 Bank of Scotland Vantage accounts, also pay 3% on £5k (open one over the internet, the other two by phone on two separate days - each call will take an hour. Again, you will need to set up standing orders to pay in £1000 a month to each account, with the same money circulating. (This is the same offer that Lloyds used to run but have withdrawn)

so that is £32k housed. Then go to Santander and open a 123 account, which will pay 3% on up to £20k. You must have 2 direct debits and pay in £500 a month, so another standing order is needed. This account charges £2 a month. It does pay tiny cashback on some bills, so is worth using.

if you do have a partner and enough direct debits, you can open a second Santander 123 which will also take £20k, then you would only need either TSB or bank of Scotland.

Clydesdale bank do 4% but only on 3K, and have a terribly clunky website.
Nationwide do 5% on £2500.

all these pay monthly interest.

[WooWooOwl]

That's great advice, thank you for taking the time to explain all that.

It's a complicated business this saving lark, they don't make it easy do they!

[specialsubject]

tell me about it! :-)

It is a full time job getting any return on money at the moment.

there are vague signs of rises in long term accounts; which probably means that 'they' are expecting the base rate to go up at some point. Not tying up money long-term makes sense.