A fan of Martin Lewis asked for help to build up her savings
Martin Lewis has pointed savers to how they could get a much better rate on their savings. He offered a wealth of advice about bank accounts on his BBC podcast.
The consumer expert shared some tips, including when to close an old current account and the different savings accounts you can go for. One particular query came from a woman who had purchased her first property with her husband in October 2025. She had just spent a big chunk of their savings on the mortgage deposit and essential house repairs, and was now keen to rebuild her savings pot. She explained her current savings account was paying just 1.05 per cent and wanted to get Mr Lewis’ thoughts on the best accounts available for growing her savings.
She mentioned they intended to deposit £250 monthly into their savings. In response, the savings guru outlined what should be the initial priority: “The most important start point is you build up an emergency fund of ready cash.
“You want three to six months of bills, that gives you that financial security, that financial defence mechanism, which is really worth doing. You can have that in any funds, as long as they are easy access.” Mr Lewis suggested a suitable type of savings account for building this emergency fund would be a regular saver.
He clarified: “They’re not for lump sums, they are only for small amounts that you put in each month, but you are exactly in that bag.” The consumer champion highlighted some of the highest-yielding accounts of this kind.
The best rate available is 7.5 per cent fixed for six months with Principality Building Society, where you can deposit up to £200 a month. Over the six-month period, you could earn up to £26.
‘Much higher’ interest rates
Mr Lewis explained: “The reason you do these is the interest rate is much higher.” You can secure rates of 7 per cent or more with several regular savings accounts.
This significantly outperforms the top rates of around 4.5 per cent available with other easy access savings accounts. Another element to consider that can quickly boost your savings is the bonus switching payments offered by some providers.
Many providers will reward you for transferring your current account to them. For instance, Nationwide Building Society is offering a £175 payment, Santander will give you £200 and Lloyds Bank is providing up to £500. Mr Lewis shared another tip on the podcast that Nationwide customers may want to think about.
Mr Lewis recommended another provider in this context. He said: “First Direct right now is paying switchers £175 to switch to its bank account. Top rate for customer service, and then you can save with it for a year at 7 per cent, and you can put up to £300 a month in.
“So you get £175 and the interest on top.” If you deposited the maximum £300 a month into this regular saver, which offers 7 per cent fixed for 12 months, you would accrue £136.50 in interest.
Combined with the £175 switch incentive, this would increase your savings by over £311. The listener expressed her gratitude for the tip. She admitted she had “no idea” that savings accounts are out there offering 7.5 per cent interest.
