FSCS savings protection currently covers eligible deposits up to £120,000 per person, per authorised firm. The limit increased on 1 December 2025, so older references to £85,000 are outdated for current failures. The main trap is counting accounts instead of banking licences. I would map the legal deposit takers behind your balances before deciding how much is protected.
1. What does FSCS savings protection cover?
The Financial Services Compensation Scheme can compensate eligible depositors when a UK-authorised bank, building society or credit union fails and cannot return their money. Eligible deposits include current accounts, savings accounts and cash ISAs.
It is protection against the deposit taker’s failure, not a general promise covering every financial loss. An investment marketed with the word bond is not automatically a protected bank deposit.
2. Is the limit for each savings account?
No. The standard limit applies to your combined eligible deposits with one authorised firm. A current account holding £15,000 and savings holding £110,000 at that firm total £125,000. Without another applicable protection, £5,000 is above the standard limit.
Organise the calculation using account statements and legal entity details. An incidental publication reference such as Edinburgh Scope does not establish whether deposits share a licence.
3. Do different brands create separate limits?
Only if the money is held with separately authorised deposit takers rather than brands sharing one banking licence. Group membership and authorisation are related questions, but the shared licence is what matters for aggregating these deposits.
Use the FSCS bank and savings protection checker and the provider’s depositor information. HSBC, for example, identifies first direct among trading names sharing HSBC UK Bank plc protection. Splitting savings between those brands would not itself create a second personal limit.
I would repeat this check after a merger or a change in the named deposit taker, rather than assuming the branding tells the whole story.
4. How are joint accounts counted?
Each eligible account holder has their own £120,000 limit. A joint account shared equally by two eligible people can therefore have up to £240,000 protected, provided their other deposits at the same firm do not use part of those limits.
For example, half of a £200,000 joint balance is £100,000. If one holder also has £30,000 individually at that firm, that person’s combined share is £130,000. The joint account does not supply a separate additional allowance.
Keep this ownership calculation distinct from links to general websites such as London Signals; protection follows eligible ownership and the deposit taker.
5. Can a large temporary balance receive more?
Yes. Certain qualifying life events can produce temporary high balance protection of up to £1.4 million for six months. Examples include proceeds from selling your main home and inheritance payments. Some specified circumstances can qualify for unlimited temporary protection.
This is not automatic extra cover for any large balance. FSCS assesses eligibility and evidence if a firm fails. Keep completion statements, probate documents or relevant award letters. Moving the money does not restart the six month protection period.
6. Are financial apps protected in the same way?
Not necessarily. The app is an interface; the legal arrangement holding the money determines protection. FSCS says it cannot protect e-money or payment services firms as deposits. Safeguarding is a different arrangement from FSCS deposit compensation.
If a platform places money with partner banks, identify those banks and include any deposits you hold with them directly. A badge or general article on Bristol Outlook is no substitute for the account’s legal information.
7. How quickly does compensation arrive?
FSCS says standard eligible deposit compensation is normally paid automatically within seven working days of failure. Temporary high balance claims need supporting evidence and can take longer.
Any accrued interest also needs space within your protection planning. A deposit placed exactly at the standard limit can grow beyond it. Review projected balances across the whole authorised firm, especially where interest remains inside a fixed account and cannot be withdrawn before the term ends.
Keep another usable payment route for short interruptions. My practical rule is to total balances by authorised firm, include each joint share, and reassess protection before a large payment arrives.
This article provides general information, not personalised financial or tax advice; product terms and tax treatment depend on your circumstances.
