Best Savings Accounts for Young Adults UK 2026
Last updated: April 2026 | Reading time: 6 minutes
If you’re in your late teens or twenties and trying to figure out where to put your money, the options can feel overwhelming. Banks haven’t historically made it easy for young people — but that’s changed dramatically in the last few years.
What to look for as a young saver
- Accessibility — you probably need to be able to access money if something comes up
- Rate — even a small difference compounds meaningfully over time
- App experience — if you’re going to engage with it, it needs to be on your phone
- Low or no minimum deposit — starting small is fine; the habit is what matters
- Automatic saving features — removing willpower from the equation helps enormously
Best picks for young adults
1. Chip — Best for building the saving habit
AER: up to 4.84% | Age requirement: 18+ | Minimum: £1
Chip’s AI auto-save feature is transformative for young people who struggle to save consistently. It analyses your income and spending, then quietly moves small amounts — typically £10–£50 — into savings throughout the month. By the end of the month, you’ve saved significantly more than if you’d done it manually. The rate is excellent, the app is simple, and the automation removes the hardest part of saving.
2. Plum — Best rate plus budgeting in one app
AER: up to 4.92% | Age requirement: 18+ | Minimum: £1
Plum pairs the highest easy access rate with smart money management tools. You can set saving rules, create multiple savings pockets for different goals, and track your spending categories — all in one place. For someone who wants to feel in control of their money and earn a strong return, Plum is hard to beat.
3. Monzo — Best if you want everything in one place
AER: 4.1% | Age requirement: 16+ (current account) | Minimum: £1
Monzo is many young people’s first proper bank account, and its savings pots sit neatly inside the main app. You can create separate pots for different goals — emergency fund, holiday, new phone — and see your progress visually. The rate isn’t the highest, but the convenience factor is real.
4. Chase — Best for cashback plus savings
AER: 4.1% | Age requirement: 18+ | Minimum: £1
Chase’s current account pays 1% cashback on everyday spending, and the linked savings account pays a competitive rate. If you’re looking to switch your main bank account anyway, Chase is arguably the best all-in-one package for young adults — cashback on your spending, strong savings rate, and a slick app.
5. Lifetime ISA (LISA) — Best if you’re buying your first home
Bonus: 25% government top-up | Age requirement: 18–39 | Maximum: £4,000/year
If you’re aged 18–39 and planning to buy your first home, the LISA gives you a 25% government bonus on everything you put in — up to £1,000 free money per year. You can open a LISA with providers like Moneybox or AJ Bell. The catch: you can only use the money to buy your first home (under £450,000) or at retirement age 60.
Quick comparison table
| Account | AER | Auto-save | Age req | Best for |
|---|---|---|---|---|
| Plum | 4.92% | Yes | 18+ | Highest rate + tools |
| Chip | 4.84% | Yes | 18+ | Building the habit |
| Chase | 4.1% | No | 18+ | Cashback + savings |
| Monzo | 4.1% | Round-ups | 16+ | Simplicity |
| LISA | N/A + 25% bonus | No | 18–39 | House deposit |
The habit that matters most
The account matters far less than the habit. Starting a £50/month direct debit into a Plum or Chip account at 22 — and never cancelling it — will leave you in a completely different financial position at 30 than someone who waits until they “can afford to save more.”
Use our savings calculator to see exactly how much £50, £100, or £200 per month grows over 5–10 years at current rates. The numbers are motivating.
This article is for informational purposes only. Rates are variable and subject to change. Always check provider websites for current terms. Savings Account Calculator may receive a commission if you open an account through links on this page.