Allica Bank advertises up to 4.08% AER (variable) on its instant access savings pot — the highest headline rate among the savings accounts we review. But 4.08% is a conditional maximum. Most businesses earn between 2.83% and 3.33% AER.
The base rate is 2.83% AER. You add 0.50% if your business makes 15 or more outbound transfers a month. You add another 0.50% for six months if you switch your main bank account to Allica via CASS.
You add 0.25% for three months if you deposit £50,000 or more within 14 days of opening. All three boosts combined reach 4.08%. Only the activity boost persists after the first six months. That’s the number to build your calculation from.
Allica also offers standalone savings with no behavioural conditions: 95-day notice at 3.65% AER, 6-month fixed at 3.86%, 24-month fixed at 3.80% — all with a £20,000 minimum.
Rates change — you need to confirm current figures at allica.bank before opening. For businesses that can lock funds away, the fixed-term products beat the pot’s base rate without any conditions.
Before you open, verify current figures at allica.bank — all product and fee claims on this page come from allica.bank, help.allica.bank, the FSCS register, and the FCA register, April 2026.
Allica Bank Business Savings at a Glance
Our Verdict
If your business makes 15+ outbound bank transfers a month and you’ll switch your main current account to Allica via CASS, the 4.08% AER with independent FSCS protection is a strong package. Commit to Allica as your primary bank and the savings rate leads the instant-access market.
If you won’t do a CASS switch or can’t maintain 15+ monthly transfers, the savings pot base rate is 2.83% AER. That’s behind OakNorth’s Earn Vault (3.85%, no conditions, no minimum) and Tide savings (up to 3.74%, no conditions). The headline doesn’t apply to you.
For businesses with £20,000+ they will not need for six months, the 6-month fixed at 3.86% AER is worth evaluating — no conditions, stronger than the pot base rate.
Best For
Established LTDs and LLPs that will switch their main current account to Allica via CASS and make 15+ outbound transfers monthly — this is the customer the 4.08% AER is built for. Also strong for businesses with £20,000+ to deploy into a notice or fixed-term product without conditions on rate.
Not Ideal For
Skip Allica if you want the headline rate without switching your main banking. Also avoid if you make fewer than 15 outbound transfers/month (the activity boost does not apply).
Explicitly excluded: charities, trusts, public sector entities, businesses under 12 months old, and those with under £20,000 for notice/fixed products.
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
Two distinct product types exist under Allica savings, and your choice determines the conditions you must meet. 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 most coverage treats the pot as the only Allica savings product — the standalone accounts are a meaningfully different decision.
The savings pot holds your funds under Allica Bank’s own banking licence — not passed to a third-party custodian like ClearBank. Your FSCS protection of up to £120,000 covers all eligible deposits with Allica Bank 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.
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 can’t be accessed until the term ends.
Funding a fixed-term account must happen within 14 days of opening. Verified from allica.bank, April 2026.
How Interest Is Earned
Your effective rate on the savings pot can shift every month. Interest accrues daily and is credited monthly, and the rate applied depends on which boosts you qualify for in that period. If your transfer count drops below 15 in any month, your statement rate falls by 0.50%.
Rate by scenario: base rate only = 2.83% AER; activity boost active = 3.33% AER; both ongoing boosts = 3.83% AER; all three (new CASS switcher, £50k deposit, first three months) = 4.08% AER.
Standalone notice and fixed-term accounts accrue interest daily, but you need to verify the payment schedule at allica.bank before opening — the 24-month product pays annually rather than at maturity, which affects your cash flow planning.
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.
We ranked the 6-month fixed-term at 3.86% AER as the strongest unconditional rate in the range. Commit £20,000+ for six months and this product outperforms the savings pot base rate (2.83%) — without any transactional conditions.
The notice accounts (95-day at 3.65%, 180-day at 3.70%) sit between the pot base rate and the fixed-term rate. They suit businesses that can plan withdrawals in advance but want to retain some flexibility rather than committing to a full fixed term.
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 can’t CASS switch but already make 15+ transfers/month. Decent rate for instant access without a minimum deposit requirement.
6-month fixed at 3.86% AER: Businesses with £20,000+ in cash they won’t need for six months. No behavioural conditions on rate. Highest certainty in the Allica range.
Notice accounts: Choose this if you have a cash reserve you can plan ahead for — a quarterly VAT pot or bonus fund that won’t be needed for 3–6 months. Rates are variable, so not rate-certain for the full term.
Rates and Returns
Current Interest Rates
Your rate on the savings pot depends on which boosts you qualify for. We mapped the full rate structure against four components — base, activity, CASS, and welcome — 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
Fixed-term deposits lock your rate for the full term — the rate you open at is guaranteed until maturity, and early access is not permitted. The savings pot and notice accounts are variable: Allica can change them and communicates changes in advance.
How and When Interest Is Paid
Your 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.
Your fixed-term deposit interest accrues daily and pays at maturity (or annually for the 24-month product). Verify the payment schedule for each product at allica.bank.
What Can Change the Rate
When your quarter-end arrives and you’re waiting on client payments to clear, the savings pot stays fully accessible — unlike a 95-day notice account where you’d still be waiting for the notice period to expire. That liquidity comes at a rate cost: 2.83% vs 3.65% on the notice product.
Variable products carry a rate risk: Allica can reprice in line with the Bank of England base rate or its own decisions. The pot rate was set on 19 December 2025 and has been stable since.
We identified the activity boost as the most consequential variable for your ongoing rate. If your business makes fewer than 15 outbound transfers in a given month, the boost does not apply that month. Maintain 15+ transfers consistently to earn 3.33% AER or above.
Fees and Charges
Account Fees
Your savings pot carries no monthly fee — but 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 applies at £10,000–£50,000 average balance or above. We checked these thresholds from allica.bank in April 2026. Verify current terms before opening.
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.
Your withdrawals from the savings pot back to the current account 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, so there is no fee to apply.
Transfer and Transaction Fees
Your first 150 outbound Faster Payments each month are free. Above 150 payments, Allica charges 12p per transaction (the Faster Payments Fair Usage Fee). 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 publicly available primary sources in April 2026 — verify at allica.bank if you need to send 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 that month. The pot balance is separate — it doesn’t count towards the threshold. Verify this at allica.bank before relying on it.
Picture the scenario: your VAT quarter lands in January and a large supplier payment clears the same week. Your current account average drops to £8,000 for the month. The savings pot sits at £60,000 earning interest.
You still pay £25 on the current account. That’s the interaction to model before you open.
We counted: at 200 payments a month, you pay 50 × 12p = £6 in overage. Only high-volume payers running 200+ monthly Faster Payments will notice the 12p charge — most SMEs stay well inside 150.
Eligibility and Deposit Requirements
Who Can Open an Account
Your business must be a limited company (LTD), limited liability partnership (LLP), or standard partnership — and must have been incorporated for at least 12 months. Allica positions itself for businesses with 5–250 employees, though this is a positioning statement rather than a published rule.
We found sole trader eligibility 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 reduced-documentation 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. Verify current eligibility criteria before applying regardless of structure.
Minimum and Maximum Deposit Limits
Savings pot: there is no published minimum deposit, but 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. If you are unsure whether your structure qualifies, contact Allica directly before applying.
Account Access and User Experience
Online Banking and App Experience
You access Allica 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.
Allica is built for business use, not retail simplicity — we compared it against Starling and Tide and found a deliberate trade-off: functional for SME treasury management but less polished than consumer-first challengers. Check current App Store and Google Play ratings for up-to-date feedback.
Managing Savings and Withdrawals
Your savings pot transfers are instant in both directions via the app or web portal — no form, notice requirement, or cooldown. Once in the current account, Faster Payments to external accounts are free up to 150 per month.
Notice account withdrawals require you to submit a withdrawal notice via the portal; funds are released after 95 or 180 days depending on the product. For fixed-term: no access until maturity. Plan accordingly before committing to a fixed-term deposit.
How to Open an Account
You 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. Allica’s underwriting is more rigorous because its target customer is an established SME. Confirm current onboarding timelines at allica.bank — they vary based on your business structure and documentation readiness.
Security, Regulation and FSCS Protection
Regulation and Authorisation
Your deposits are held under a full UK banking licence. Allica Bank Limited is authorised by the PRA and regulated by the FCA (FCA Firm Reference Number: 821851). Confirmed from the FCA register in April 2026. Verify current registration at register.fca.org.uk before you deposit.
FSCS Protection
Eligible deposits with Allica Bank are FSCS-protected up to £120,000 per eligible depositor. The limit rose to £120,000 on 1 December 2025 (previously £85,000). It covers your combined Allica balance — current account plus savings pot plus any notice or fixed-term accounts.
Confirmed from allica.bank and the FSCS register in April 2026: the £120,000 protection is under Allica’s own banking licence, separate and independent from ClearBank.
Tide and Capital on Tap savings are both held via ClearBank — their £120,000 FSCS limit is shared across all ClearBank-backed accounts combined. Not £120,000 each.
We flagged this in our comparison: hold money at both Allica and a ClearBank provider and your protections are independent. That’s the stacking advantage.
Safeguarding and Security Features
Your deposits at Allica sit under statutory FSCS protection — the same regulatory class as a high-street bank, not e-money safeguarding. This is not a ring-fenced client account; it is statutory deposit protection with an automatic payout mechanism.
Your account is protected by two-factor authentication and fraud monitoring. Confirm current security features at allica.bank.
Customer Reviews and Reputation
What Customers Like
You can verify Allica’s Trustpilot score directly — it holds 4.7 stars from 1,789 reviews as of April 2026. The review count is lower than mass-market challengers (Tide: 30,000+) because Allica’s eligibility is deliberately narrower. Self-selection for a matched customer profile lifts the average.
What you find in positive reviews is specific relationship manager names — a signal that the dedicated contact promise works in practice, with real names, real contact, real resolution. Customers also reference seamless CASS switching and the speed of loan application processing.
Common Complaints
The risk for applicants is underwriting friction — negative reviews focus on businesses that did not meet eligibility criteria or found the process slow. One isolated review on SmartMoneyPeople cited an APP fraud dispute.
Negative reviews focused only on onboarding and underwriting — not on savings pot interest, withdrawal friction, or rate accuracy. We observed no widespread savings-specific complaints in our April 2026 review.
Customer Support and Service
Support Channels and Availability
Your dedicated relationship manager is the primary support route for savings queries. Phone support is also available on 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.
Your dedicated relationship manager gives you a direct line — bypassing the general support queue for savings-specific queries. This is a structural product feature, not a premium tier.
Portal live chat (human-assisted, with bot routing during busy periods) is also available — a meaningful advantage over app-only accounts where resolution can take days.
Help Centre and Self-Service Resources
Your first port of call for operational questions is the help centre at help.allica.bank, which covers account management, savings pot mechanics, payment limits, and fee details (including the FPS Fair Usage Fee). Use it before contacting your relationship manager.
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. We confirmed both rates from primary sources in April 2026.
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%). The headline doesn’t apply to you.
Say you run a 12-person professional services firm with surplus cash earning nothing in your current account. You make 20 outbound bank transfers a month and you’re willing to switch.
At Allica with the activity and CASS boosts active (months one to six), you earn approximately 4.08% AER. At Tide: up to 3.74% with no switch required.
The gap is roughly £170 per year on £80,000 — worth the switch only if you’re committing to Allica as your primary account for at least six months.
FSCS: Tide savings are held via ClearBank (£120,000 shared across all ClearBank-backed accounts). Allica sits under its own licence — independent of ClearBank. That’s the structural protection advantage.
If you are a sole trader or a business under 12 months old, choose Tide — Allica requires 12+ months of trading history and sole trader eligibility is disputed. Newly trading or a sole trader: Tide.
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 relationship, 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 the stronger choice.
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.
We benchmarked OakNorth’s Earn Vault at 3.85% AER against Allica’s pot base rate (2.83% AER) — OakNorth pays more without any conditions. Even at 3.33% (Allica with activity boost only), Allica is still below OakNorth. Verified from oaknorth.co.uk in April 2026.
Allica only wins unconditionally on the savings pot rate at 4.08% — and that requires a CASS switch, £50k deposit within 14 days, and 15+ transfers/month. That’s a specific customer profile, not a general recommendation.
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.
We have a full comparison across all options in our best business savings accounts guide.
Final Verdict: Is Allica Bank Business Savings Worth It?
It depends on how you’ll actually use the account. The 4.08% AER headline requires a CASS switch, 15+ outbound transfers monthly, and a £50,000 welcome deposit within 14 days. Do all three from day one and Allica delivers the best rate-plus-FSCS combination in this comparison. Hard to beat.
Think about a 25-person LTD that holds £150,000 in working capital and makes 30 outbound payments a month. They switch via CASS, deposit £50,000 in week one, and earn 4.08% AER for the first three months.
After month three, the rate drops to 3.83% as the welcome boost expires, then to 3.33% from month seven onwards (activity boost only). That’s still above Tide and Capital on Tap on an ongoing basis. For that business, Allica is the clear choice.
If you won’t switch via CASS or can’t hit 15 transfers/month, the pot base rate of 2.83% AER is behind OakNorth Earn Vault (3.85%, no conditions) and Tide (up to 3.74%, no conditions). That’s the wrong account for you.
The 6-month fixed at 3.86% AER is underused. If you have £20,000+ you won’t touch for six months, that’s the highest unconditional rate in Allica’s range with no switching requirement. We found this consistently missing from other coverage of Allica savings.
Do the arithmetic on your actual monthly transfer volume before committing to a CASS switch. Rate conditions change — verify the current rate structure at allica.bank before opening.
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 (base + activity). 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. You cannot open the pot as a standalone product. 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.
How we reviewed Allica Bank Business Savings
What we assessed. We evaluated Allica Bank Business Savings on pricing, contract terms, features, and eligibility. These are the factors that matter most to UK small businesses considering this provider.
Data sources. We checked Allica Bank Business Savings’ pricing page, terms, and product docs directly in April 2026. No comparison sites, no press releases, no affiliate material. FCA register cross-checked for regulatory status.
Update cadence. We re-verify this page at least monthly, and whenever a provider changes pricing, eligibility, or terms. The verification date on the page reflects the most recent full review. Some links on this page are affiliate links, see our editorial policy.