Expats looking for decent offshore savings rates have little choice when seeking a return that beats erosion by tax and inflation.
Among the best current deals are:
- Five years – 2.5% with £5,000 on deposit the Conister Bank
- Three years – 1.8% with a £5,000 cash tie-in with the Nationwide Building Society
- One year – 1.5% for a massive £20,000 on deposit with the Permanent Bank
With the Eurozone inflation rate settling at 2.2% in May and average tax on savings charged at 20%, even the market-leading 2.75% offering from Skipton International only lets savers break even.
This leaves a dire choice as savers receive a -0.10% savings rate inside the Eurozone.
Fixed term offshore savings for expats – June 20, 2014
The table shows 20 of the best rates currently offered by leading offshore fixed term account providers for expats – the table covers the same deals but is sorted by rate and amount of cash required for a deposit:
| Accounts - by interest rate | |||
|---|---|---|---|
| Provider | AER | Term | Deposit |
| Skipton International | 2.75% | July 31, 2019 | £10,000 |
| Conister Bank | 2.50% | 5 Year Bond | £5,000 |
| Skipton International | 2.25% | 3 Year Bond | £10,000 |
| Permanent Bank | 2.11% | 5 Year Bond | £20,000 |
| Permanent Bank | 2.06% | 3 Year Bond | £20,000 |
| Santander | 2.05% | 3 Year Bond | £500 |
| Permanent Bank | 2.03% | 2 Year Bond | £20,000 |
| Permanent Bank | 2.03% | 20 Month Bond | £20,000 |
| Leeds Building Society | 2.00% | January 31, 2016 | £1,000 |
| Permanent Bank | 1.99% | 15 Month Bond | £20,000 |
| Nationwide | 1.80% | 3 Year Bond | £5,000 |
| Leeds Building Society | 1.75% | July 31, 2016 | £100 |
| Skipton International | 1.75% | Offshore notice | £10,000 |
| Santander | 1.65% | July 1, 2016 | £500 |
| Newcastle Building Society | 1.50% | January 22, 2016 | £500 |
| Permanent Bank | 1.50% | 1 Year Bond | £20,000 |
| Nationwide | 1.45% | 1 Year Bond | £25,000 |
| Newcastle Building Society | 1.40% | January 22, 2015 | £500 |
| Conister Bank | 1.30% | 3 Year Bond | £5,000 |
| Investec Bank Offshore | 1.30% | 1 Year Bond | £50,000 |
| Accounts - by deposit amount | |||
| Provider | AER | Term | Deposit |
| Leeds Building Society | 1.75% | July 31, 2016 | £100 |
| Newcastle Building Society | 1.40% | January 22, 2015 | £500 |
| Newcastle Building Society | 1.50% | January 22, 2016 | £500 |
| Santander | 1.65% | July 1, 2016 | £500 |
| Santander | 2.05% | 3 Year Bond | £500 |
| Leeds Building Society | 2.00% | January 31, 2016 | £1,000 |
| Conister Bank | 1.30% | 3 Year Bond | £5,000 |
| Nationwide | 1.80% | 3 Year Bond | £5,000 |
| Conister Bank | 2.50% | 5 Year Bond | £5,000 |
| Skipton International | 1.75% | Offshore notice | £10,000 |
| Skipton International | 2.25% | 3 Year Bond | £10,000 |
| Skipton International | 2.75% | July 31, 2019 | £10,000 |
| Permanent Bank | 1.50% | 1 Year Bond | £20,000 |
| Permanent Bank | 1.99% | 15 Month Bond | £20,000 |
| Permanent Bank | 2.03% | 2 Year Bond | £20,000 |
| Permanent Bank | 2.03% | 20 Month Bond | £20,000 |
| Permanent Bank | 2.06% | 3 Year Bond | £20,000 |
| Permanent Bank | 2.11% | 5 Year Bond | £20,000 |
| Nationwide | 1.45% | 1 Year Bond | £25,000 |
| Investec Bank Offshore | 1.30% | 1 Year Bond | £50,000 |
| This list covers most major providers but is not exhaustive. Account rates and minimum deposits are likely to change or be withdrawn at short notice | |||
Offshore savings providers
Here’s a list of 10 of the leading offshore savings providers with links to their web sites:
- Conister Bank – Private personal and commercial banking from the Isle of Man
- Investec – Offers international banking services, including savings and investments from the Channel Islands
- Leeds Building Society – Gibraltar branch of the UK based building society serving expats
- Lloyds Bank International – Channel Islands and Isle of Man personal banking for expats
- NatWest Bank – Offshore saving rates from branches in Gibraltar, the Isle of Man and Channel Islands
- Nationwide Building Society – The international service of the popular UK building society
- Newcastle Building Society – Expat saving and banking services from Gibraltar
- Permanent Bank – Isle of Man branch of an Irish-based bank
- Santander – Isle of Man branch of this international bank with a UK high street presence
- Skipton International – Channel Islands branch for expats of the UK building society
Other offshore financial institutions are available and will be added to the list when they issue new products for expat savers.
