A high-interest savings account may offer a higher rate, but interest could be taxable if it exceeds your Personal Savings Allowance: £1,000 for basic-rate taxpayers, £500 for higher-rate taxpayers and £0 for additional-rate taxpayers. Interest from a cash ISA is tax-free, and you can usually save up to £20,000 across ISAs in a tax year. Compare the interest rate, access restrictions, withdrawal penalties and whether the rate is a temporary bonus. Check that the provider is FCA-authorised and eligible deposits are protected by the Financial Services Compensation Scheme, subject to its limits.