Allica Bank Business Savings Review (2026): Rates, Fees and Verdict
Allica Bank Business Savings: up to 4.08% AER (base 2.83%), FSCS to £120,000 — pot requires the Allica Business Rewards Account. Notice and fixed-term from 3.65% AER; both need £20k minimum.
Up to 4.08% AER (variable) on instant access savings — base rate 2.83%; 4.08% requires activity, CASS switch, and £50k welcome deposit
- Up to 4.08% AER; base 2.83% without activity boost
- FSCS to £120k — Allica’s own licence
Allica Bank advertises up to 4.08% AER (variable) on its instant access business savings pot. That is the highest headline rate among the savings providers we affiliate with.
The 4.08% is a maximum built from four components — and most businesses will earn between 2.83% and 3.33% AER unless they fully migrate their operational banking to Allica.
The base rate is 2.83% AER. You add 0.50% if your business makes 15 or more outbound transfers a month. You add 0.50% for six months if you switch your main bank account via CASS.
You add 0.25% for three months if you deposit £50,000 or more within 14 days of opening. The CASS boost expires after month six.
Allica also offers standalone notice accounts (95-day at 3.65% AER, 180-day at 3.70%) and fixed-term deposits (6-month at 3.86%, 24-month at 3.80%). These require a £20,000 minimum and are separate from the pot.
For many businesses, the fixed-term products offer better value than the pot’s base rate without the activity conditions. In practice, 2.83% is where most businesses start.
All claims on this page are sourced from allica.bank, the FSCS register, and the FCA register in April 2026. Rates are variable (except fixed-term products); confirm current figures at allica.bank before opening.
Allica Bank Business Savings at a Glance
Our Verdict
If your business already makes 15+ outbound bank transfers a month and you’re willing to switch your main current account to Allica via CASS, the 4.08% AER plus FSCS protection under Allica’s own banking licence is a strong package for established SMEs with significant cash reserves.
If you won’t do a CASS switch or can’t maintain 15+ monthly transfers, the savings pot base rate drops to 2.83% AER.
That puts it behind OakNorth’s Earn Vault (3.85% AER, no conditions) and Tide savings (up to 3.74% AER, no conditions). We consider OakNorth the stronger default for businesses unwilling to migrate. The catch is switching your main banking to get the full rate.
The standalone notice and fixed-term accounts are worth evaluating separately from the pot. The 6-month fixed at 3.86% AER has no behavioural conditions — just a £20,000 minimum and a six-month commitment.
Best For
Established LTDs and LLPs that will switch their main current account to Allica via CASS and make 15+ outbound transfers monthly. Also strong for businesses with £20,000+ to deploy into a notice or fixed-term product without conditions on rate.
Not Ideal For
Businesses that want the headline rate without switching their main banking. Businesses with fewer than 15 outbound transfers/month. Charities, trusts, and public sector entities (explicitly excluded). Newly formed businesses (12 months minimum incorporation required).
Key Facts
| Feature | Detail |
|---|---|
| Savings pot rate (maximum) | Up to 4.08% AER (variable) |
| Savings pot base rate | 2.83% AER (variable) — without boosts |
| Activity boost | +0.50% if 15+ outbound transfers/month |
| CASS switching boost | +0.50% for first 6 months |
| Welcome boost | +0.25% for first 3 months (£50k deposit within 14 days) |
| 6-month fixed rate | 3.86% AER (fixed, £20k min) |
| 95-day notice rate | 3.65% AER (variable, £20k min) |
| Access on savings pot | Instant access — no notice period |
| Interest payment | Monthly (pot); daily accrual, annual payment (notice/fixed) |
| FSCS protection | Up to £120,000 (Allica Bank licence) |
| Pot monthly fee | No fee on savings pot itself |
| Account required (pot) | Allica Business Rewards Account |
| Minimum deposit (pot) | Not published; £50k for welcome boost |
| Minimum deposit (notice/fixed) | £20,000 |
| Maximum deposit (notice/fixed) | £2,000,000 |
| Sole traders | [VERIFY at allica.bank — sources conflict] |
Allica Instant Access Business Savings Pot
What Is Allica Bank Business Savings and How Does It Work?
How the Account Works
Allica offers two distinct types of business savings. The savings pot is an instant access account embedded inside the Allica Business Rewards Account. You cannot open the pot without the current account.
The standalone savings accounts (notice and fixed-term) are separate deposit products with a £20,000 minimum and their own terms. We found no published requirement to hold an Allica current account for the standalone products — but confirm at allica.bank before applying.
The savings pot holds your funds under Allica Bank’s own banking licence. FSCS protection of up to £120,000 applies to all eligible deposits with Allica Bank combined — current account plus savings pot combined.
How Deposits and Withdrawals Work
For the savings pot: you move money between the Allica current account and the pot within the same account. Deposits are immediate. Withdrawals are instant — there is no notice period.
Funds return to the current account instantly, from which you can make Faster Payments to external accounts.
For standalone notice accounts: you must give 95 or 180 days’ notice before withdrawing. Early withdrawal is not permitted on fixed-term accounts — the funds cannot be accessed until the term ends. Verified from allica.bank, April 2026.
How Interest Is Earned
On the savings pot, interest accrues daily and is credited monthly. The rate you earn depends on which boosts apply to your account in that month. An account with only the base rate earns 2.83% AER; with the activity boost earns 3.33% AER.
Both ongoing boosts active earns 3.83% AER. All three — in the first three months for a new CASS switcher who deposited £50k — earns 4.08% AER.
On standalone notice and fixed-term accounts, interest accrues daily and is paid at maturity or annually. Verify the exact payment schedule at allica.bank.
Allica Bank Business Savings Products
Available Savings Options
| Product | Rate (AER) | Type | Min deposit | Access |
|---|---|---|---|---|
| Savings Pot (inside Business Rewards Account) | 2.83%–4.08% variable | Variable | Not published | Instant |
| Easy Access Savings Account | 2.80% variable | Variable | £20,000 | Easy access |
| 95-Day Notice Account | 3.65% variable | Variable | £20,000 | 95-day notice |
| 180-Day Notice Account | 3.70% variable | Variable | £20,000 | 180-day notice |
| 6-Month Fixed-Term Deposit | 3.86% fixed | Fixed | £20,000 | No early access |
| 24-Month Fixed-Term Deposit | 3.80% fixed | Fixed | £20,000 | No early access |
Key Differences Between the Available Accounts
The savings pot is the only instant access product — but its effective rate depends heavily on your activity and whether you switch via CASS. The standalone accounts (notice and fixed) have unconditional rates but require a £20,000 minimum and sacrifice some or all liquidity.
The 6-month fixed-term at 3.86% AER is the strongest unconditional rate in the range. If you can commit £20,000+ for six months, this product outperforms the savings pot base rate (2.83%).
We rate the fixed-term products as underrated relative to the pot for businesses with a defined cash reserve that won’t do a CASS switch.
Which Businesses Each Option May Suit
Savings pot at 4.08% AER: Businesses that will switch their main banking to Allica via CASS and already make 15+ outbound bank transfers monthly. Best for businesses fully committing to Allica as their primary bank.
Savings pot at 3.33% AER (activity boost only): Businesses that cannot CASS switch but already make 15+ transfers/month. Decent rate for instant access without a minimum deposit.
6-month fixed at 3.86% AER: Businesses with £20,000+ in cash they won’t need for six months. No behavioural conditions. Highest certainty in the Allica range.
Notice accounts: Businesses with a cash reserve they can plan ahead for — quarterly VAT or bonus pot that won’t be needed for 3–6 months. Rates are variable, not rate-certain for the full term.
Rates and Returns
Current Interest Rates
The savings pot rate structure, verified from allica.bank in April 2026:
| Rate component | AER | Condition | Duration |
|---|---|---|---|
| Base rate | 2.83% | Always applies | Ongoing |
| Activity boost | +0.50% | 15+ outbound transfers in preceding month | Ongoing (monthly) |
| CASS switching boost | +0.50% | Switch main account to Allica via CASS | First 6 months only |
| Welcome boost | +0.25% | Deposit £50k+ into pot within 14 days of opening | First 3 months only |
| Maximum (all boosts) | 4.08% | New CASS switcher, £50k deposit, 15+ transfers/month | First 3 months |
| After welcome boost expires (months 4–6) | 3.83% | CASS + activity boost only | Months 4–6 |
| After CASS boost expires (month 7+) | 3.33% | Activity boost only | Ongoing |
| Without activity boost | 2.83% | Fewer than 15 outbound transfers/month | Ongoing |
Fixed vs Variable Rate Structure
The savings pot and all notice accounts are variable — Allica can change the rates and communicates changes in advance. The 6-month and 24-month fixed-term deposits are fixed for the duration: the rate you open at is guaranteed until maturity.
Early access is not permitted on fixed-term products.
How and When Interest Is Paid
Savings pot: interest accrues daily and is credited to the pot monthly. Notice accounts: interest accrues daily; payment schedule varies by product. The 180-day notice account pays annually.
Fixed-term deposits: interest accrues daily and is paid at maturity (or annually for the 24-month product). Verify the payment schedule for each product at allica.bank.
What Can Change the Rate
For variable products (pot and notice accounts), the rate can move with the Bank of England base rate and Allica’s own pricing decisions. The savings pot rate architecture was set on 19 December 2025. Rate changes are communicated to customers in advance.
The reality is the CASS and welcome boosts are temporary, not permanent. The activity boost is the only component that continues indefinitely.
If your business makes fewer than 15 outbound transfers in a given month, the boost does not apply that month. Maintain 15+ consistently to earn 3.33% AER or above on the pot.
At month-end in April, your finance manager checks the portal and sees the activity boost has not applied — 14 outbound payments in March, not the required 15. The rate for that month drops to 2.83% AER.
If your business makes 18 outbound payments in February and 12 in March, you earn 3.33% AER in February and 2.83% AER in March — the boost resets each month based on the prior month’s count.
Fees and Charges
Account Fees
The savings pot itself carries no monthly fee. The Allica Business Rewards Account (required for the pot) charges £25/month if your average current account balance falls below £10,000 in the preceding month.
This fee is waived if you hold an active Allica loan or overdraft. No monthly fee at £10,000–£50,000 average balance, or £50,000+. Verified from allica.bank, April 2026.
Deposit and Withdrawal Fees
Moving money between your Allica current account and the savings pot is free in both directions. There are no deposit fees on the notice or fixed-term accounts either.
Withdrawals from the savings pot are free and instant. Notice account withdrawals are free after the notice period. Fixed-term early withdrawal is not permitted — early access is simply not available.
Transfer and Transaction Fees
Faster Payments out of the Business Rewards Account are free for the first 150 payments per month. Above 150, Allica charges 12p per transaction. Verified from allica.bank, April 2026.
If your current account balance is insufficient to cover this 12p fee, Allica can automatically sweep funds from your savings pot to settle it. Direct Debits, standing orders, BACS, and ATM withdrawals are free.
International transfer fees were not confirmed from primary sources in April 2026 — verify at allica.bank if you need overseas payments.
Other Charges to Watch
The £25 monthly current account fee is the main cost risk. If your current account average balance drops below £10,000 in any month, you pay £25 regardless of your savings pot balance.
We found no confirmation that the pot balance counts towards the current account threshold — verify this at allica.bank.
If your finance director sweeps £30,000 into the savings pot at month-end and the current account drops below £10,000, you pay £25 that month — the pot does not count. The fixed-term products are the cleaner choice for businesses with a defined cash reserve.
The 150-payment free allowance is generous for most SMEs. At 200 payments a month, you pay 50 × 12p = £6 in Faster Payments fees. Only businesses running high payment volumes (200+/month) will notice the overage charge.
Eligibility and Deposit Requirements
Who Can Open an Account
Allica accepts limited companies (LTDs), limited liability partnerships (LLPs), and standard partnerships. The business must have been incorporated for a minimum of 12 months. Allica positions itself for businesses with 5–250 employees.
Verify current eligibility criteria at allica.bank before applying.
Sole trader eligibility is disputed between our sources. Allica’s published terms reviewed in April 2026 suggest sole traders with turnover under £3,000,000 may be accepted via a streamlined process. A separate April 2026 review of the Allica Bank account states sole traders are not accepted.
Verify directly at allica.bank before applying if you are a sole trader.
Minimum and Maximum Deposit Limits
Savings pot: no published minimum. To receive the welcome boost (+0.25% AER for 3 months), you must deposit £50,000 within 14 days of opening. There is no stated maximum deposit on the pot.
Notice and fixed-term accounts: minimum £20,000, maximum £2,000,000. Funding a fixed-term account must happen within 14 days of opening.
If you hold more than £120,000 total across your Allica accounts, the balance above £120,000 is outside FSCS protection.
Ineligible Business Types
Explicitly excluded from Allica business savings: charities, trusts, public sector organisations, cooperatives. Businesses incorporated less than 12 months ago are not eligible. Contact Allica directly if you’re unsure whether your structure qualifies.
Account Access and User Experience
Online Banking and App Experience
Allica provides access via a web portal and a mobile app. The app lets you view balances, move money between the current account and savings pot, and initiate payments. The interface is designed for SME finance management, not consumer banking.
Less polished than Starling or Tide, but more oriented toward business functionality. Check current App Store and Google Play ratings for up-to-date feedback — we did not conduct hands-on app testing.
Managing Savings and Withdrawals
For the savings pot: move money to and from the pot via the app or web portal. Transfers are instant in both directions. There is no form, notice requirement, or cooldown.
When the quarterly VAT payment lands in January, your accountant transfers the surplus into the savings pot — the instant access means it starts earning interest the same day.
Once in the current account, Faster Payments to external accounts are free up to 150 per month.
For notice accounts: submit a withdrawal notice via the portal; funds are released after 95 or 180 days. For fixed-term: no access until maturity. Plan accordingly before committing to a fixed-term deposit.
How to Open an Account
Apply online at allica.bank. The process requires company documentation, identity verification for directors and significant shareholders, and confirmation of trading history (minimum 12 months).
Allica assigns a dedicated relationship manager during onboarding. Expect a more thorough process than app-only challengers. Confirm current onboarding timelines at allica.bank — they will vary based on your business structure and documentation readiness.
Security, Regulation and FSCS Protection
Regulation and Authorisation
Allica Bank Limited is authorised by the Prudential Regulation Authority (PRA) and regulated by the Financial Conduct Authority (FCA) and the PRA. FCA Firm Reference Number: 821851. Confirmed from the FCA register in April 2026.
Verify current registration at register.fca.org.uk before depositing.
FSCS Protection
Eligible deposits with Allica Bank are protected by the Financial Services Compensation Scheme (FSCS) up to £120,000 per eligible depositor. This limit was increased to £120,000 on 1 December 2025 (previously £85,000). Confirmed from allica.bank and the FSCS register, April 2026.
It applies to your combined eligible deposits with Allica Bank — current account plus savings pot plus any notice/fixed-term accounts.
The critical distinction: Allica’s FSCS protection is under its own banking licence, separate from ClearBank. Tide savings and Capital on Tap savings are both held via ClearBank — the £120,000 FSCS limit is shared across all your ClearBank-backed accounts combined.
If you hold money at both Allica and a ClearBank-backed provider, your FSCS protections are independent.
Safeguarding and Security Features
Allica is a fully licensed bank. Your deposits are held as bank deposits under statutory FSCS protection — the same regulatory class as a high-street bank. This is statutory deposit protection, not e-money safeguarding.
Two-factor authentication and fraud monitoring apply. Confirm current security features at allica.bank.
Customer Reviews and Reputation
What Customers Like
Allica holds a 4.7-star Trustpilot rating from 1,789 reviews as of April 2026 — verify current ratings at trustpilot.com. The review count is lower than mass-market challengers (Tide: 30,000+) because Allica’s eligibility is deliberately narrower.
Positive reviews consistently cite the relationship manager model. Reviewers name specific contacts, which indicates the promise of a dedicated point of contact is functioning in practice.
We found no widespread pattern of reviews praising the savings rate specifically. Customers also reference seamless CASS switching and the speed of loan application processing.
Common Complaints
Negative reviews focus on the application and onboarding process — businesses that did not meet eligibility criteria or found underwriting slow. One isolated review on SmartMoneyPeople cited an APP fraud dispute.
We found no widespread complaints about savings pot interest, withdrawal friction, or rate accuracy in our April 2026 review.
Customer Support and Service
Support Channels and Availability
Phone support: 0330 094 3333, Monday to Friday 9:00am–5:00pm (Wednesday: 9:30am–5:00pm). Confirmed from allica.bank, April 2026. Verify current hours before calling.
Every customer is assigned a dedicated relationship manager. Allica also provides live chat within the portal. For savings-specific queries, your relationship manager is the direct contact — bypassing a general support queue.
Help Centre and Self-Service Resources
Allica maintains a help centre at help.allica.bank covering account management, savings pot mechanics, payment limits, and fee details. We found this to be the most reliable source for fee verification alongside the main allica.bank site.
Frequently Asked Questions
Is the Allica Bank 4.08% AER savings rate available to everyone?
No. The 4.08% AER is a maximum built from four components: 2.83% base rate, +0.50% if you make 15+ outbound transfers/month, +0.50% for the first 6 months if you switch via CASS, +0.25% for the first 3 months if you deposit £50,000+ within 14 days. Businesses that don’t switch via CASS earn at most 3.33% AER. Businesses that also make fewer than 15 monthly transfers earn 2.83% AER. Verified from allica.bank, April 2026.
Is Allica Bank business savings FSCS protected?
Yes. Eligible deposits with Allica Bank are protected by the FSCS up to £120,000 per eligible depositor. This limit was raised to £120,000 on 1 December 2025 (previously £85,000). Allica holds a full UK banking licence (FCA FRN: 821851). This protection is under Allica’s own banking licence — separate and independent from ClearBank-backed providers like Tide and Capital on Tap. Verified from allica.bank and the FSCS register, April 2026.
Can I open an Allica savings account without the Business Rewards Account?
For the savings pot: no. The pot is embedded inside the Business Rewards Account. For the standalone notice and fixed-term accounts: these are separate products with their own terms — verify at allica.bank whether a Business Rewards Account is required to access these products.
What are the Allica Bank notice and fixed-term savings rates?
As of April 2026 (verified from allica.bank): 95-day notice: 3.65% AER (variable); 180-day notice: 3.70% AER (variable); 6-month fixed: 3.86% AER (fixed); 24-month fixed: 3.80% AER (fixed). All notice/fixed accounts require a minimum £20,000 deposit and a maximum of £2,000,000. Rates may have changed — confirm at allica.bank before opening.
Can sole traders open an Allica Bank savings account?
Our sources conflict on this. Allica’s April 2026 published terms suggest sole traders with turnover under £3,000,000 may be accepted. A separate April 2026 review of the Allica Bank account concludes sole traders are not accepted. Verify directly at allica.bank before applying. If Allica does not accept you, Tide Business Savings and Capital on Tap Savings both accept sole traders without restriction.
What is the Allica Bank FPS Fair Usage Fee?
Allica Bank’s Business Rewards Account includes 150 free outbound Faster Payments per month. Above 150 payments, a 12p charge per transaction applies. If your current account balance is insufficient to cover this fee, Allica can automatically sweep the required amount from your savings pot. Verified from help.allica.bank, April 2026.
Allica Bank Business Savings vs Alternatives
Allica vs Tide Business Savings
Allica savings pot: up to 4.08% AER (base 2.83%). Tide savings: up to 3.74% AER, no behavioural conditions, no CASS switch required.
If you won’t do a CASS switch and make fewer than 15 transfers/month, Tide’s unconditional rate beats Allica’s pot base rate (2.83%). We consider Tide the clearer default for businesses that won’t fully migrate.
FSCS: Tide savings are held via ClearBank (£120,000 shared across all ClearBank-backed accounts). Allica is under its own banking licence. If you already hold a ClearBank-backed account, Allica’s independent FSCS protection is an additional benefit.
Eligibility: Tide accepts sole traders and businesses of any age. Allica requires 12+ months of trading history.
Tide Instant Saver Account
Allica vs Capital on Tap Business Savings
Capital on Tap savings pays up to 3.82% AER with no behavioural conditions. The savings account is available to Capital on Tap card customers. Like Tide, it is held via ClearBank — same FSCS structure, same shared £120,000 limit.
If you already use the Capital on Tap credit card and want to earn interest on surplus cash without switching your main banking, the CoT savings pot is a low-friction option.
If rate maximisation and FSCS independence are the priority and you qualify for Allica, the Allica pot (with activity boost at 3.33%) or the fixed-term products are stronger. We consider this a clear trade-off.
Capital on Tap Business Savings Account
Allica vs OakNorth Business Savings
OakNorth’s Earn Vault pays 3.85% AER (variable, no minimum deposit, no conditions), linked to the OakNorth business current account. Withdrawals requested before 8:00am on a business day are processed same-day; after 8:00am, next business day.
At the savings pot base rate (2.83% AER), OakNorth’s Earn Vault pays more than Allica without any conditions. At 3.33% (Allica with activity boost), Allica remains below OakNorth. Allica only wins unconditionally on rate at 4.08%.
For fixed-rate business: Allica’s 6-month fixed at 3.86% AER beats OakNorth’s 95-day notice (3.65%) for businesses that can commit funds for six months. Both carry FSCS protection under their own banking licences.
Final Verdict: Is Allica Bank Business Savings Worth It?
The answer depends on how you’ll actually use the account. The 4.08% AER headline is real — but it requires a CASS switch, 15+ outbound transfers monthly, and a £50,000 welcome deposit within 14 days.
If you do all three from day one, Allica delivers a strong rate with the best FSCS profile in the instant-access market. At base rate (2.83%), OakNorth is ahead without conditions.
If you won’t switch via CASS or can’t commit to 15 monthly transfers, the base rate of 2.83% AER makes Allica’s pot a weaker choice than OakNorth’s Earn Vault (3.85%, no conditions, no minimum) or Tide savings (up to 3.74%, no conditions).
We rate the standalone fixed-term and notice accounts as underrated relative to the savings pot. The 6-month fixed at 3.86% AER has no behavioural conditions — just a £20,000 minimum and a six-month lock. We consider this the cleaner product for businesses with a defined cash reserve.
Verify eligibility, the current rate structure, and whether the £50k welcome deposit condition still applies at allica.bank before opening. Do the arithmetic against your actual monthly transfer volume before committing to a CASS switch for the rate.
We reviewed Allica Bank’s business savings products by checking current rates, product terms, fee schedules, and eligibility criteria directly from allica.bank and help.allica.bank in April 2026. Rate structure data sourced from allica.bank/business-savings.
We confirmed Allica Bank’s FCA registration (FRN 821851), PRA authorisation, and FSCS registration from the FCA register and the FSCS website in April 2026. FSCS limit of £120,000 reflects the increase effective 1 December 2025.
Competitor rates for Tide, Capital on Tap, and OakNorth were verified from each provider’s primary website in April 2026. OakNorth Earn Vault rate (3.85% AER) sourced from oaknorth.co.uk. All rates are variable unless noted as fixed; confirm before opening.
Deep Research was used to supplement primary source verification. Where sources conflicted (sole trader eligibility), we flagged the discrepancy explicitly rather than presenting either version as settled. We did not use comparison site summaries as the basis for product claims.
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