Is 4% APY a good benchmark for UK savers now?

Yes, it is a useful yardstick based on recent US roundups. In the UK, compare against AER on similar easy-access accounts. Focus on FSCS protection, access rules, and whether the rate relies on a short bonus. Aim to stay near the best savings rates available.

Should I switch from a 0.39% account to a higher rate?

Usually, yes. On £10,000, 0.39% earns about £39 a year before tax, while 4% pays about £400. That is roughly £361 more for the same cash. If safety and access are comparable, moving toward the best savings rates can materially lift your annual interest.

Are money market funds safer than savings accounts?

They are different. UK savings accounts with FSCS protection cover up to £85,000 per person per banking group. Money market funds are investments and can vary, with different protections. If capital certainty is vital, prioritise FSCS-backed accounts and compare AER to find the best savings rates for your needs.

How often should I check my savings rate?

Review monthly or at least quarterly. Variable rates move, and new offers can appear. Set alerts for provider changes, and keep a shortlist of alternatives. Regular check-ins help you stay close to the best savings rates without spending much time or taking extra risk.

Global Market Insights

January 25: Savings Rates Today – Best HYSAs Still Near 4% APY

ByDanny Kontos January 25, 2026January 25, 2026

As of 25 January, the best savings rates still cluster near 4% APY in major roundups, while average savings rates sit around 0.39% and money market rates hover near 4.22%. For UK savers, APY aligns closely with AER. If your cash sits in a legacy account, shifting to a leading offer can raise insured returns with little hassle. We explain what these figures mean in the UK, where value exists today, and how to compare options to keep your money working.