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How FSCS protection works

FSCS protects your money if an authorised UK bank or building society fails. Here's the essentials.

The £120,000 limit

FSCS protects eligible deposits up to £120,000 per eligible person, per authorised firm, subject to eligibility and FSCS rules. The limit rose from £85,000 on 1 Dec 2025.

Because the limit applies per person rather than per account, each holder of a joint account is covered separately — so a joint account held by two eligible people can be protected up to £240,000 between them, provided neither holds other balances with the same firm.

Watch shared authorisations

The limit applies per authorised firm, not per brand. Where several brands operate under one firm reference number, FSCS treats them as a single firm and £120,000 is the total across all of them — not £120,000 each. If you hold large balances, check the firm reference number behind each brand rather than assuming a familiar name is its own bank.

Temporary high balances

Certain temporary high balances — money arriving from a qualifying life event such as a property sale or an inheritance — can be protected up to £1,400,000 for 6 months.

Common questions

Is my money protected instantly?
FSCS aims to pay compensation for most deposit claims within seven working days.
Does it cover interest?
Yes — protection covers your balance including accrued interest, up to the limit.
Do two brands from the same bank each get the full limit?
No. If they share a firm reference number they count as one firm, so £120,000 covers your total across both.

Information only, not financial advice.