Not investing the full £85,000 covered under the FSCS

mebu60

Need to know #3
For perfect safety, save no more than £83,000 per institution (the extra £2,000 gives room for interest). Spreading can be worth it even if you've under £85,000; if your bank went bust, the money could be inaccessible for a spell. Using two accounts mitigates the risk.

The £83k possibly needs adjusting to £81.5k given recent rate hikes but there it is in black & white.