UK banking · August 2026

FSCS in 2026: £120,000 for deposits, £85,000 for investments

FSCS protects eligible deposits up to £120,000 per person, per authorised institution.

FSCS in 2026: £120,000 deposit limit and £85,000 investment limit. Two schemes.

Last updated: 27 September 2026.

This is general information, not personal advice. It is not a protection promise. FSCS pays if an authorised firm fails, within stated limits and rules. It does not stop a savings rate falling, a share price falling, or a company you hold going bust. It is not a recommendation to move money.

Key points

The Financial Services Compensation Scheme is a last resort if an authorised firm fails. From 1 December 2025, eligible UK deposits are covered up to £120,000 per person per authorised firm. Eligible investments stay at £85,000.

Those are two different schemes. This page is information, not a promise that any balance is safe.

There are no live The Finance Lowdown referral programmes on this page. The only checker link is the FSCS’s own site.

What FSCS is

The Financial Services Compensation Scheme (FSCS) is a last-resort scheme. If a UK-authorised firm fails, FSCS can pay eligible customers up to a stated limit.

It is not an insurance policy you buy. It is not a guarantee that every product with an FSCS logo is covered in the same way.

Two schemes sit under that badge, with two different limits. Mixing them up is why some older guides still quote £85,000 for deposits.

Limits

Two schemes: deposits vs investments

The FSCS limit 2026 picture is two schemes, not one number.

Deposits. From 1 December 2025, eligible UK deposits are covered up to £120,000 per person per authorised firm. That includes current-account credit balances and Cash ISAs, which are deposits.

The old £85,000 figure is historical. Deposit payouts are typically aimed at around seven working days.

Investments. Eligible investment business is still covered up to £85,000 per person per authorised firm. That limit did not rise when the deposit limit did.

It is for a firm failure or a shortfall in assets, including some advice and shortfall claims. It is not compensation for the market going down. It is not compensation for the issuer of a share or bond going bust.

Investment claims take months, not days.

FSCS two-scheme comparison: deposits vs investments. Not a product list.
Feature	Deposits	Investments
Live limit	£120,000 from 1 December 2025	£85,000 (unchanged)
Limit applies	Per person, per authorised firm	Per person, per authorised firm
Typical products on this page	Current-account credit balances and Cash ISAs	Eligible investment business, including investments inside a Stocks and Shares ISA
Typical payout	Aimed at around seven working days	Months, not days
Does not cover	A savings rate falling	Market falls, or the issuer of a share or bond going bust

A Cash ISA sits in the deposit scheme. Investments inside a Stocks and Shares ISA sit in the investment scheme. See easy-access savings accounts in the UK and Stocks and Shares ISA fees.

Authorised firms

Per authorised firm, not per brand

The deposit limit is per person per authorised firm, not per high-street brand. Two names on the high street can share one banking licence, and then they share one £120,000 pot.

Dated licence snapshot, 18 October 2026 (check FRNs on the PRA list and the FCA Register):

HSBC UK, first direct and M&S Bank share one pot from 1 June 2026.
Halifax and Bank of Scotland share a pot.
Lloyds Bank plc (FRN 119278) is not the same firm as Bank of Scotland plc (FRN 169628).
HSBC UK is not the same firm as HSBC Bank plc.
Santander is not the same firm as TSB.

Switching a current account from one brand to another does not create a new FSCS pot if those brands share a licence. CASS (the Current Account Switch Service) moves the account.

It does not split the firm. See current account switch bonuses.

This snapshot does not cover every shared group. If a brand is not listed above, look it up on the FCA Register rather than assuming it is separate.

Joint and sole accounts

Joint accounts

On a joint account with two named holders, each person typically has their own £120,000 deposit limit on that joint balance. That is why a joint account is often described as covered up to £240,000. It is two people, each with one limit, on that account.

A sole account and a joint account at the same authorised firm do not stack into two full personal pots. The £120,000 is per person per firm.

Money in your name at that firm, including your share of a joint account, counts toward one personal £120,000. They do not double up.

This is not a how-to for spreading cash across brands.

Temporary high balances

In defined life-event cases, FSCS can cover a temporary high balance above the usual deposit limit: up to £1.4 million for six months (it was £1 million). Injury and incapacity payments can be unlimited under that rule.

Cover is not pre-confirmed. You evidence the life event after a firm fails. FSCS aims to deal with these claims in about three months.

Typical events include selling a main home, and inheritance. This is a separate, time-limited rule, not a higher everyday limit.

Exclusions

What is not covered

FSCS does not cover:

Market falls (your shares or funds dropping in value)
An e-money firm (EMI) failing. E-money is not an FSCS-protected deposit. The FSCS badge is a deposits badge, not an e-money badge. Some older guides still quote £85,000 for deposits, which is out of date.
Crypto.
Unauthorised firms.
APP-fraud reimbursement. The £85,000 APP figure is a Payment Systems Regulator reimbursement limit, not the deposit guarantee scheme.

NS&I is backed by HM Treasury, not by FSCS.

The FSCS protection checker is a deposits checker. It does not, by itself, tell you that an investment, an e-money wallet, or a crypto product is covered.

Exceptions

Uninvested cash on a platform or in a Stocks and Shares ISA

This article does not print one FSCS figure for uninvested platform cash. Whether that cash is an eligible deposit, or client money under the FCA Client Assets Sourcebook, depends on how the platform holds it.

Those are different regimes. Check the platform’s own wording.

Two different things called CASS

Current Account Switch Service (CASS) is run by Pay.UK. It moves an eligible current account.

It does not move savings or ISAs, and it does not create a new FSCS pot when brands share a licence. See current account switch bonuses.

Client Assets Sourcebook (CASS) is an FCA rulebook on how firms hold client money and custody assets. It is not the switch service. Uninvested platform cash may sit under this CASS, or as a deposit, depending on the firm.

The acronym is the same. The schemes are not.

The catch

Important things to know

Live deposit limit: £120,000 per person per authorised firm from 1 December 2025.
Investment limit: still £85,000. It did not rise. It does not cover market falls or issuer bust.
The limit is per authorised firm, not per brand.
Joint: two named holders typically two limits on that joint account. Sole plus joint at the same firm share one personal £120,000.
Temporary high balances: up to £1.4 million for six months in defined life-event cases; not pre-confirmed.
NS&I is Treasury-backed, not FSCS.
Current Account Switch Service ≠ FCA Client Assets Sourcebook.
APP-fraud £85,000 is PSR, not the deposit scheme.

Practical implications

How to check a firm

Look up the brand on the FCA Register and note the firm name and FRN (firm reference number).
Check whether other brands share that authorised firm.
Use the FSCS protection checker: https://www.fscs.org.uk. It is a deposits checker.

Re-check FRNs on the PRA list and the FCA Register. The licence snapshot above is dated. Do not assume extra shared groups.

Deposit payouts are typically aimed at around seven working days after a deposit-taker fails. Investment claims take longer, often months.

FSCS protection limits: FAQs

What is the FSCS limit in 2026?

There are two FSCS limits in 2026. From 1 December 2025, eligible UK deposits are covered up to £120,000 per person per authorised firm. Eligible investments stay at £85,000. Those are two different schemes. The old £85,000 deposit figure is historical, not the live deposit limit.

What does FSCS £120,000 cover?

See Two schemes: deposits vs investments above.

What does FSCS £85,000 cover?

Eligible investment business is still covered up to £85,000 per person per authorised firm. That limit did not rise when the deposit limit did. It is for a firm failure or a shortfall in assets. It is not compensation for the market going down, and it is not the live deposit limit.

How do I use the FSCS checker?

Look up the brand on the FCA Register and note the firm name and FRN. Then check whether other brands share that authorised firm. The FSCS protection checker is at https://www.fscs.org.uk. It is a deposits checker. It does not, by itself, tell you that an investment or an e-money wallet is covered.

Is NS&I covered by FSCS?

No. NS&I is backed by HM Treasury, not by FSCS. The FSCS protection checker is a deposits checker for authorised firms. Treasury backing is a different arrangement from the deposit guarantee scheme.

Is e-money covered by FSCS?

No. FSCS does not cover an e-money firm (EMI) failing. E-money is not an FSCS-protected deposit. The FSCS badge is a deposits badge, not an e-money badge. Crypto and unauthorised firms are also not covered.

Written by Steven — Editor, The Finance Lowdown

Fact checked by Angela — Editorial Reviewer

Last updated: 27 September 2026