Does savings interest count below the tax threshold?

[Sobriquet22]

Hi all,

My current situation is that I am unemployed and because of my savings (gained over many decades), have stopped receiving any form of benefits, so, zero income from that or any form of work.

My question is, the current personal allowance is 12,570 (as of todays date!) and the interest I am receiving, annually, is way below this threshold, so, do I require to pay any tax on these savings interest amounts; is deemed as 'income' in this situation?

I have trawled through the GOVT site and the only reference is, that;

If your other income is less than £17,570
Your starting rate for savings is a maximum of £5,000. Every £1 of other income above your Personal Allowance reduces your starting rate for savings by £1.

So, whilst I am unemployed, is the first 5k free of tax, or, any other amount over this (up to the personal allowance amount) tax free?

Many thanks for all your helpful responses

[D&C]

Any income above your Personal Allowance is taxed.

It's not "tax free". That would be interest from an ISA or within a pension wrapper.

But if it's taxable interest, you haven't used any of your basic rate band and it isn't more than £6,000 (above the Personal Allowance) then it will all be taxed at 0%.

The first £5,000 (above the Personal Allowance) is taxed at 0% courtesy of the savings starter rate band.

The next £1,000 (above the savings starter rate band) is taxed at 0% courtesy of the savings nil rate (aka Personal Savings Allowance).