The Personal Savings Allowance lets you earn some savings interest tax-free outside an ISA: up to £1,000 for basic-rate taxpayers, £500 for higher-rate taxpayers and nothing for additional-rate taxpayers. Interest from a high-interest savings account counts, but interest earned in an ISA is usually tax-free and does not use your allowance. If your interest exceeds the allowance, HMRC may collect tax through your PAYE tax code or you may need to report it through Self Assessment. Check your tax position on GOV.UK, particularly if your income or tax band changes.