What is the best cash ISA rate UK April 2026?

The best cash ISA rates in the UK in April 2026 are: Easy access: Prosper 4.7% (best for new money); Moneybox 4.43% (best for transfers); Virgin Money 4.15% (best big-name bank). Fixed 1-year: Vanquis Bank 4.46%. Fixed 2-year: Vanquis Bank 4.48%. These rates are as of April 2026 from MSE, Which? and MoneyWeek research. Rates change frequently — always verify directly with the provider before opening. ISA allowance for 2026/27: £20,000 (same as 2025/26). From April 2027 this reduces to £12,000 for under-65s.

How much can I put in a cash ISA in 2026/27?

The ISA allowance for the 2026/27 tax year (starting 6 April 2026) is £20,000 — the same as 2025/26. This is the total you can put across ALL ISA types in one tax year (cash ISA + stocks and shares ISA + Lifetime ISA + Innovative Finance ISA combined). Crucially, from April 2027 the allowance changes significantly: under-65s can only put £12,000 into cash ISAs, with the remaining £8,000 of the £20,000 allowance having to go into a stocks and shares ISA. Those aged 65 and over retain the full £20,000 cash ISA limit. This means 2026/27 is potentially the last year of the £20,000 cash ISA allowance for most savers — use it while you can.

Should I open a cash ISA or a regular savings account?

Whether a cash ISA beats a regular savings account depends on your tax situation. Cash ISA rates (April 2026): up to 4.7% easy access, all tax-free. Best easy access savings (April 2026): up to 4.75-4.8% AER — slightly higher but taxable. For basic-rate taxpayers with under £22,222 in savings: the taxable savings account at 4.5% probably beats the ISA at 4.3% (your PSA of £1,000 covers the interest). For higher-rate taxpayers with over £11,111 in savings: the ISA wins — your PSA is only £500. For additional-rate taxpayers: always use the ISA — no PSA at all. For anyone with savings above £20,000-£25,000: max out the ISA first, then put the rest in taxable savings.

Can I transfer my old cash ISA to a better rate?

Yes — you can transfer existing cash ISAs (from previous years and current year) to a new provider at any time. This does NOT use up your annual ISA allowance. The golden rule: NEVER withdraw from a cash ISA to move it. You will permanently lose the tax-free status of that money. Instead, complete an ISA transfer form with your new provider — they arrange the transfer and keep your money tax-free throughout. ISA transfers should take no longer than 15 days by law. Always check whether the new provider accepts transfers (some top-rate accounts are for new money only — Prosper 4.7% is new money only, while Moneybox 4.43% accepts transfers).

Best Cash ISA Rates April 2026: Top Easy Access 4.7%, Fixed 4.5%

Best Cash ISA Rates UK April 2026: Up to 4.7% Easy Access Tax-Free

Chandraketu Tripathi

Finance Editor, Kaeltripton

Published 4 Apr 2026

Last reviewed 12 May 2026

✓ Fact-checked

The 2026/27 tax year just started on 6 April — your £20,000 ISA allowance has reset. This is critical: from April 2027 the cash ISA limit drops to £12,000 for under-65s, making 2026/27 potentially the last full year of the £20,000 allowance. Here are the best rates right now. New Tax Year 6 April 2026 — Allowance Reset

Best Cash ISA Rates — April 2026

Provider	Rate	Type	Min Deposit	Transfers In?	Notes
Prosper	4.7% AER	Easy access	£1	No — new money only	Top rate; variable; app-based
Moneybox	4.43% AER	Easy access	£1	Yes	Top for transfers; variable; app-based
Virgin Money	4.15% AER	Easy access	£1	Yes	Top big-name bank; variable
Trading 212	4.49% AER (incl bonus)	Easy access	£1	Yes	0.98% bonus for 12 months for new customers; variable underlying
Vanquis Bank	4.46% AER	Fixed 1-year	£1,000	Check terms	Top 1-year fixed; no access during term
Vanquis Bank	4.48% AER	Fixed 2-year	£1,000	Check terms	Top 2-year fixed; no access during term
Zopa	Competitive	Easy access	£1	Yes	Multiple savings pots in one ISA
HL Cash ISA	Competitive	Easy access + fixed	£1	Yes	Pick rates from multiple banks in one account; no fees

Source: MSE Cash ISA guide April 2026; Which? cash ISA rates 1 April 2026 (Moneyfacts data); MoneyWeek April 2026. Rates correct at time of writing — verify directly with providers before opening as rates change frequently. ISA season (March-April) often sees providers competing aggressively for deposits.

The 2027 ISA Rule Change — Why 2026/27 Is Critical

Category	2025/26 (just ended)	2026/27 (current year)	From April 2027
Total ISA allowance	£20,000	£20,000	£20,000 (unchanged)
Cash ISA limit (under 65)	£20,000	£20,000 — USE IT NOW	£12,000 only
Cash ISA limit (65 and over)	£20,000	£20,000	£20,000 (retained)
Stocks & Shares ISA minimum (under 65)	None required	None required	£8,000 minimum from 2027
Action required	—	Max out cash ISA now if possible	Review strategy before April 2027

Rachel Reeves announced the cash ISA limit cut in the Autumn Budget 2025, effective from April 2027. The stated aim: to push more money into productive investment rather than cash savings. Critics argue it penalises risk-averse savers and those near retirement. Practical implication: if you can, use your £20,000 cash ISA allowance in 2026/27 — it may be the last year you can put this much into cash tax-free.

Easy Access vs Fixed Rate Cash ISA — Which Is Right?

Factor	Easy Access ISA	Fixed Rate ISA
Access to money	Anytime (check withdrawal limits)	None until fixed term ends
Interest rate	Variable — can change anytime	Guaranteed for the fixed term
Best rate (April 2026)	4.7% (Prosper)	4.48% (Vanquis 2yr)
If rates rise	Your rate may rise too	Stuck at lower rate
If rates rise	Your rate may fall too — ditch and switch	Protected at fixed rate
Best for	Emergency fund top-up; unsure of timeline	Specific savings goal; not needed for 1-2 years
Flexible ISA?	Some are — check terms	Most are not flexible

How to Transfer a Cash ISA — The Golden Rules

Rule 1 — NEVER withdraw: Withdrawing from a cash ISA to move it destroys the tax-free wrapper permanently on that money. You cannot re-shelter it. Rule 2 — Use the transfer form: Go to your new provider's website, fill in their ISA transfer form, give your old ISA details. They contact your old provider and move the money — you do nothing else. Rule 3 — Check transfer acceptance: Not all providers accept transfers. Prosper (4.7%) is new money only. Moneybox (4.43%) and Virgin Money (4.15%) accept transfers. Rule 4 — Allow 15 days: ISA transfers must legally complete within 15 days. Chase your new provider if it takes longer. Rule 5 — Partial transfers allowed: Since April 2024, you can transfer part of your ISA — not just all of it.

Cash ISA or Premium Bonds?

Comparison	Best Cash ISA (Prosper 4.7%)	Premium Bonds (3.30% prize rate from April 2026)
Rate	4.7% AER (guaranteed)	3.30% prize rate — median return lower
Tax status	Tax-free	Tax-free prizes
FSCS protection	£120,000 per institution	100% HM Treasury guarantee (unlimited)
Certainty	Guaranteed interest	No guarantee — could win more or less
For basic-rate taxpayers	Better — higher guaranteed rate	Worse — lower expected return
For higher-rate taxpayers	Better — unless have huge savings balance	Better only if already maxed ISA + PSA
Instant access	Yes (some withdrawal limits)	Yes — 3-5 working days

KAELTRIPTON VERDICT

The new 2026/27 tax year means your £20,000 ISA allowance has just reset. Best easy access: Prosper 4.7% (new money) or Moneybox 4.43% (transfers). Best fixed 1-year: Vanquis Bank 4.46%. Critically — 2026/27 may be the last year you can put £20,000 into a cash ISA; from April 2027 the limit drops to £12,000 for under-65s. Use your allowance now. Never withdraw from an ISA to switch — always use the transfer form.

Allowance Resets 6 April 2026 — Use £20,000 Now Before 2027 Limit Cut to £12k

Q: Best cash ISA rate UK April 2026?

A: Easy access: Prosper 4.7% (new money only); Moneybox 4.43% (accepts transfers); Virgin Money 4.15% (big name). Fixed 1-year: Vanquis Bank 4.46%. Verify rates directly before opening.

Q: How much can I put in a cash ISA 2026/27?

A: £20,000 — same as before. From April 2027: £12,000 for under-65s; £20,000 for 65+. 2026/27 may be the last year of the £20,000 cash ISA allowance for most savers.

Q: How do I transfer my cash ISA?

A: Use transfer form at your new provider — NEVER withdraw. They contact old provider and move money. Max 15 days. Partial transfers allowed since April 2024. Prosper: new money only. Moneybox: accepts transfers.

Q: Cash ISA or savings account?

A: Basic-rate taxpayer under £22,222 savings: top savings account wins. Higher-rate taxpayer or over £22,222: ISA wins — your PSA of £500 gets used up faster. Additional-rate taxpayer: always use ISA.

Rates and deals change frequently. Always verify current rates directly with providers before switching. Data verified April 2026 from Moneyfacts, MSE, Which? and provider websites.

Best Cash ISA Rates UK April 2026: Up to 4.7% Easy Access Tax-Free

Best Cash ISA Rates — April 2026

The 2027 ISA Rule Change — Why 2026/27 Is Critical

Easy Access vs Fixed Rate Cash ISA — Which Is Right?

How to Transfer a Cash ISA — The Golden Rules

Cash ISA or Premium Bonds?

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