Best 1 Year Fixed Rate Bond Rates this July 2026 in the UK

What sets this provider apart is its slightly lower rate of 4.81% AER, which still positions it as a strong contender in the market, appealing to those who want a reliable return with a straightforward application process.

There are many benefits for choosing a fixed rate bond, including: A guaranteed interest rate for the entire term of the bond. You may be offered a competitive rate if you can commit to investing your money for a set period. You can choose the best term for your needs, such as 1 year, 2 year or a 7 year fixed rate bond.

Higher Interest Rates: FDs typically offer higher rates than Savings Accounts, making them more lucrative for long-term savings goals. Penalty for Early Withdrawal: Withdrawing your funds before the term ends may lead to penalties, ensuring you stick to your savings plan.

This provider shines for its user-friendly app that allows easy management of your savings, alongside a competitive rate of 4.80% AER, making it a solid choice for tech-savvy savers.

Rates & Pricing

Fixed rate bonds are savings accounts offered by banks and building societies. They could help you to save a lump sum, paying a guaranteed interest rate over an agreed period.

The Afin Bank 1-Year Fixed Term Account (Issue 5) is a fixed rate bond that allows you to save a lump sum for one year at a guaranteed interest rate.

No, cash cannot be touched until the bond matures.

Upon maturity, you will receive your initial investment along with the accrued interest.

Yes, the interest rate is fixed for the entire term of one year.

The minimum deposit required will be specified in the account terms and conditions.

A key differentiator is the Union Bank of India’s high maximum investment limit of £480,000, making it an attractive option for those looking to invest larger sums while still securing a competitive rate of 4.76% AER.

The Union Premier Bond offers a fixed interest rate of 3.75% AER.

The minimum investment amount for the Union Premier Bond is £1,000.

The term for the Union Premier Bond is 1 year.

The interest on the Union Premier Bond is paid annually.

Yes, the Union Premier Bond is eligible for FSCS protection up to the limit set by the Financial Services Compensation Scheme.

No, the funds cannot be withdrawn before the maturity of the Union Premier Bond.

At the end of the term, the principal amount and the interest earned will be paid back to the investor.

GB Bank offers a competitive rate of 4.73% AER, but it also features a 21-day funding window, which may require savers to act quickly to secure their investment.

The Penrith Building Society offers a solid rate of 4.70% AER, making it a reliable choice for savers who prefer a traditional building society experience.

Penrith Building Society Sort code: 60-16-21 Account number: 77173163 Reference: Use your 10-digit Penrith Building Society account number which can be found on-line or on your passbook or account statement.

The interest rate for the Penrith Building Society 1 Year Fixed Rate E-Bond (Issue 7) is provided as an AER.

Access to funds from the 1 Year Fixed Rate E-Bond is typically restricted until the maturity date.

The minimum investment amount for the Penrith Building Society 1 Year Fixed Rate E-Bond (Issue 7) is specified in the product details.

The interest payment frequency for the Penrith Building Society 1 Year Fixed Rate E-Bond (Issue 7) is detailed in the product documentation.

Withdrawals before the maturity of the 1 Year Fixed Rate E-Bond are generally not permitted.

At the end of the 1 Year Fixed Rate E-Bond term, the funds will typically be returned to your designated account unless you choose to reinvest.

Recognise Bank’s offering at 4.70% AER is competitive, especially for those looking for a straightforward online application process, making it accessible for many savers.

A 1 year fixed rate bond is a savings account where your money is locked away for a period of one year at a fixed interest rate.

Recognise Bank was founded in 2017 by experienced business owners who recognised the disconnect between traditional business banking and the needs of modern SMEs. We were frustrated with the lack of understanding, certainty and flexibility offered within the industry.

The best 1 year fixed rate account can vary based on current market conditions and individual needs, but Recognise Bank offers competitive rates for its 1 Year Fixed Rate Account.

Usually, you lock your money away for this set period. So, you can't easily take your cash out. It means fixed bonds may be better suited to medium and long-term savers who can afford to set their cash aside. But because they're less accessible, they could offer higher interest rates in return.