Mortgage costs might be up and there are concerns over the cost of living with inflation back on the rise – but savers should find themselves in a great place right now with high competition and wider economic factors pushing interest rates for savings accounts into premium territory.

A raft of banks, lenders and digital platforms are competing for your money, and with inflation at 3% it’s vital you keep your savings stashed somewhere earning considerably more than that – and plenty right now are doing so.

Here is our regular roundup of the best savings deals; rates are correct at the time of writing but always ensure an account is right for your circumstances beyond the headline rate, including any bonus periods, withdrawal allowances and more. Rates are AER (annual equivalent rate) for easy comparison.

Caitlyn Eastell, personal finance analyst at Moneyfactscompare.co.uk said: “Many of the top rates outpace inflation by over 1%, meaning a high-paying savings account can significantly boost savers’ real returns while it remains above its target. When savers are deciding which account is best, it’s important they balance flexibility against certainty. Easy-access accounts suit those who may need to withdraw cash at a short notice, while fixed rate deals offer guaranteed returns.”

Best cash ISAs

An ISA is simply a tax-free version of a normal saving account, you won’t pay tax on any interest earned no matter the amount.

It’s a very simple three-way battle right now for the best rate in cash ISA terms; your preference will be dictated by which bonus you may have already used and when you think you might need to withdraw any money in future.

Prosper does a good deal for new members who get a market-leading 4.7% variable rate for the first 12 months. This includes a 1.92% boost, paid to your nominated bank account after 12 months or on account closure. It’s not eligible for transfers, only “new” ISA money.

Trading 212’s 3.6% offering isn’t the very highest – but when you use an exclusive code from The Independent, the 4.58% it gives you is another challenger rate right now. You can make as many withdrawals as you need, with the bonus being valid for one year. Transfers in are not eligible for the bonus here either.

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Finally, Plum have now set their rate to 4.57% to remain very competitive – but you need to ensure the terms of this meet your likely needs – you won’t get the full rate until a bonus is paid at the end of 12 months, by which time you still need the account to be open and not have transferred your ISA elsewhere. Otherwise you get a far lower 2.54%, which is also the rate after the first year. The ISA is now a flexible one.

One further big rate to highlight is XTB’s 6% offer – but that’s a boosted rate for 90 days for new cash ISA sign-ups, with the rate dropping to 4% thereafter.

A host of others including Tembo, Tesco Bank, Moneybox and Hargreaves Lansdown offer rates at well over 4% so make sure your cash is somewhere that offers a competitive amount ahead of the ISA deadline.

Best easy access savings accounts

If you need a home for savings beyond the tax-free ISAs, perhaps because you have maxed your limits or because you want some accessible rainy-day money, an easy access account is what you want.

Cahoot’s Sunny Day Saver is the leader at 5%, but only for balances up to £3,000. LHV offering 4.25% and Sidekick with 4.23% – but only for six months before it drops by 1% – are alternatives.

A long-running offer from Chase is still appealing at 4.5% including a one-year bonus, and one from Mansfield Building Society at 4.25%. The latter allows only three withdrawals a year.

As a slightly different aside, Tembo offer 4.75% on a HomeSaver account which adds another 1% bonus if you use their service for getting a mortgage on the house you’re saving for.

Best fixed-term saver accounts

Fixed-term bonds, or savings accounts, mean you lock your cash away to get a pre-determined rate. You can’t usually access your cash in that time, but the plus side is you get the same rate of interest even if the Bank of England drops the base rate or companies move other products around.

Chetwood Bank have the best one-year deal offering 4.65% right now, while Vida Savings offer 4.61% for the top two-year deal. Remember, for tax purposes the interest earned is calculated when it’s paid to you, not spread across the term period.

For more fixed term deals you can see our full list here and if you want to seek out the best regular savings accounts, earning up to 7.1%, you can read here.