Can I receive gross interest on my savings account?

Any interest we pay is gross interest (tax free). Depending on the interest you earn, you may need to pay tax on any interest yourself.

ISA Accounts
ISAs are tax free, regardless of interest earned. You can find out more about how ISAs are set up by looking at our Guide to ISAs or the government advice on ISAs.

Non ISA accounts
Since 6 April 2016, taxpayers have had a Personal Savings Allowance. This means that up to £1,000 of income earned from savings (e.g. interest earned) is tax-free for basic taxpayers, and up to £500 of savings income is tax-free for higher rate taxpayers.

The vast majority of our customers won't pay tax on their savings income. If you're under the threshold, there's nothing further that you need to do.

Where possible, for those earn interest above their personal savings allowance will have any tax they have to pay collected automatically by HMRC, through a change to their tax code, based on information provided by banks and building societies.

If you currently complete a self-assessment tax return, you should continue to do so.

You can find more guidance on personal savings allowances by going to www.gov.uk and search for 'personal savings allowance'.

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