What is Sharia-compliant savings?
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In short: Savings accounts that share profit instead of paying interest, invested only in activities permitted under Islamic law. UK banks quote an expected profit rate — not a guaranteed interest rate — and accounts are FSCS-protected like conventional savings.
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Reviewed by Kaiser Khan
Sharia finance avoids riba (interest). Your money is pooled into halal trade or asset-backed activity; profit is distributed to account holders based on agreed ratios.
Returns can vary if underlying investments underperform. Independent Sharia supervisory boards certify that products meet Islamic principles.
Read our full Sharia-compliant savings guide and compare with Cash ISAs if you want tax-free wrappers.
Primary source: gov.uk/individual-savings-accounts
Part of our Savings & ISAs
This quick answer sits inside our wider savings & isas hub — with sub-guides, calculators and step-by-step explainers on the same topic.
Read the full savings & ISAs guide →