'I earn very little interest on my pension - how can I boost my savings?' Jasmine Birtles replies

Jasmine Birtles in pictures beside pension folder

Jasmine Birtles explained how a pensioner could check for better interest rates on savings in this week's pensions and retirement Q&A

Jasmine Birtles

By Jasmine Birtles

Published: 09/07/2024

- 04:00

Updated: 16/07/2024

- 14:03

Jasmine Birtles explains different savings options in this week's pensions and retirement Q&A

Jasmine Birtles answers your questions in an exclusive pensions and retirement Q&A for GBN membership. Have you got a question about your pension? Get in touch by emailing money@gbnews.uk.

Question: "I am a UK Pensioner living in Ireland with my UK pension paid through a Northern Ireland Bank with a very low interest.

"How can I increase the interest on my UK pension savings?"

Happily, there are a few ways that you can increase the interest on your UK pension savings.

I spoke to a few experts who came up with some ideas for you.

Firstly Leo Smigel, a personal finance expert and the founder of Analyzing Alpha says: "The simplest approach would be shopping around your existing bank for a better savings rate.

"Have you checked if they offer any higher interest accounts? Often, just asking nicely can get you a bump.

Pensioner couple look at finances on laptop with calculator beside them

Savers may


"Beyond that, it may make sense to branch out to online options. I've heard good things about Northern Ireland-based Ace Savings for example - last I checked their easy access account yielded around 1.5 per cent.

"That's substantially more than many high street rates right now.”

Also, Keith Donovan from Startup Stumbles, added: “You could also consider some low-risk investment options. Lots of banks and investment companies offer fixed-income products like bonds that pay regular interest and your money is protected.

"These often give higher returns than a regular savings account.

“Talking to a financial adviser could help. They may have ideas on small changes you can make to boost your pension income without taking on big risks.

"Sometimes just making sure your money is invested in the right places makes a difference."

With investing, it's important to remember capital is at risk.

Steven Kibbel, a certified financial planner at Prop Firm App, says: “I have years of experience guiding UK pensioners through the complexities of cross-border retirement planning.

"If the interest rate on your UK pension coming through that Northern Irish bank is leaving you underwhelmed, the first step is likely looking into better options offered elsewhere.

"From what I've seen, several UK banks and building societies are currently offering much higher interest rates of four to six per cent on savings accounts and fixed deposits.

“From what I've seen working with many UK pensioners, those able to exercise just a bit of restraint and delay taking their full pension pot right away often end up better off in the long run—it's like letting your money marinate and develop maximum flavour!


"For each year you can defer withdrawals and leave those investments, your eventual annual retirement income could increase by up to 10 per cent.

"We're talking potentially thousands of extra pounds lining your pockets annually, just by exhibiting a smidge of patience.”

It's worth checking on some comparison sites to see which banks and building societies are currently offering the best rates. Try Moneyfacts.co.uk, Confused.com and Money.co.uk.

Jasmine Birtles is founder of MoneyMagpie.com. Sign up to her free, fortnightly investing newsletter here.

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