Strip UK halal savings to a single question, where does a lump sum earn the most with FSCS cover, and two providers dominate the answer: BLME, Europe's largest standalone wholly Islamic bank, and HBZ Sirat, the Islamic window of Habib Bank Zurich that quietly became the UK Islamic rate champion at 6 and 12 months. They pursue the same saver with opposite architectures, which makes this the most instructive head-to-head in the market. All rates verified August 6, 2026; BLME's headline carries its 9 July 2026 date, its notice rate 20 May 2026.
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The rate battle, term by term
| Term | HBZ Sirat eDeposit | BLME | Edge |
|---|---|---|---|
| 6 months | 4.46% | Within 'up to 4.65%' headline; per-term grid unpublished | Sirat on published evidence |
| 12 months | 4.81% | Unpublished per-term | Sirat, and it is the UK record |
| 2 years | 4.10% | Unpublished per-term | Sirat on published evidence |
| 3 years | 4.05% | Unpublished per-term | Sirat on published evidence |
| 5 years | 4.00% | Available; headline up to 4.65% | Ask BLME for a quote |
| 6-7 years | Not offered | Only provider in the UK | BLME, unopposed |
| Notice (90 days) | Not offered | 4.30% gross / 4.37% AER | BLME, unopposed |
The published-rate story favours Sirat everywhere the two overlap: its eDeposit grid (4.46% at 6 months, 4.81% at 12, 4.10% at 2 years, 4.05% at 3, 4.00% at 5) is printed for anyone to see, while BLME publishes only 'up to 4.65%' and makes you ask for the term-by-term numbers. Our editorial rule is that unpublished rates score zero until quoted, so Sirat wins the comparison a rate-shopper can actually run, and its grid has the useful property of being bookable online today rather than negotiable by phone tomorrow. But BLME owns two categories outright: duration, with the only 5, 6 and 7 year Islamic terms in Britain, and the 90-day notice account at 4.37% AER, which has no Sirat counterpart and out-paid Sirat's own 2-year fix while staying 90 days from your hands. Full notice analysis in our notice accounts guide.
Governance: named scholars vs audited standards
BLME is a wholly Islamic bank: every asset and liability supervised by a named Sharia'a Supervisory Board (Sheikh Dr. Abdulaziz Al-Qassar chairing, with Sheikh Dr. Esam Khalaf Al-Enezi and Sheikh Dr. Mohammad Al-Barrak), an annual compliance certificate published with the accounts, and a shareholder Zakat Statement almost no bank anywhere produces. HBZ Sirat is a window inside a conventional bank: products structured under AAOIFI standards, guided by the bank's Shariah Advisor, externally reviewed and audited by IFAAS, with certificates published for the window but no individual scholars named on the UK site. For savers who require a wholly Islamic balance sheet, BLME wins before rates are discussed. For savers satisfied by AAOIFI standards plus independent audit, Sirat's architecture is defensible and its disclosure honest. Our window versus wholly Islamic piece argues both sides properly; the short version is that this is the one genuine values question in the comparison, and only you can answer it.
Operations: a tie, unusually
Both banks share the same operational quirk, which savers should find funny rather than annoying once warned: accounts open online and then have no online servicing. BLME runs statements, notices and instructions by email, post and phone; Sirat's eDeposit likewise has no online servicing after opening. For money locked to maturity this costs nothing. Both serve audiences beyond the mainstream too: BLME takes deposits from 1,000 GBP up to 1 million GBP per Premier Deposit; Sirat's branch network serves non-residents, companies and SPVs, and negotiates business Wakala rates from 10,000 GBP, with USD and EUR placements and one-to-three month terms nobody else publishes. One warning repeated from our Sirat guide because it matters here: Sirat's own branch Wakala deposit paid 3.00% at 12 months against the eDeposit's 4.81%; the comparison above is with the online product, and walking into a branch for a standard GBP term forfeits the win.
Institutional shape: what stands behind each rate
The balance sheets behind the rates differ in instructive ways. BLME, founded 2006, is wholly owned by Boubyan Bank of Kuwait and carries an A+ Fitch rating through parent equalisation; it is the largest standalone wholly Islamic bank in Europe by assets, it runs the Nomo digital brand for Gulf customers on the same licence, and its deposit franchise won Moneyfacts' Best Fixed Account Provider four consecutive years from 2018 to 2021. Habib Bank Zurich plc is a conventional international bank whose Sirat window carries the Islamic book, written, per the FY2024 accounts, through Diminishing Musharika and Commodity Murabaha; the group's UK presence spans eight branches across London, Manchester, Leicester and Birmingham, and its property finance desk serves the mid-market landlords our Sirat guide describes. Both carry FSCS protection to 120,000 GBP; remember BLME's limit is shared with Nomo deposits, and Sirat's with any conventional HBZ deposits, because the limit follows the licence.
The same choice at three balance sizes
- 10,000 GBP for a year: Sirat eDeposit at 4.81%; BLME's notice account needs the same 10,000 GBP but pays 4.37% for more flexibility. Take the fix if the money is truly spoken for; take the notice if life is uncertain.
- 60,000 GBP: split it; a 12-month Sirat fix for the rate, a BLME 90-day notice tranche for repositioning power, sized to your actual plans.
- 200,000 GBP+: the licence question outranks the rate question; 120,000 GBP per licence means using both banks (plus Al Rayan or Gatehouse) is the structurally correct answer regardless of who pays more, per our FSCS guide.
Verdict
One more filter before the verdict: profit schedules. BLME's fixed terms pay profit annually, or at maturity under a year, and its notice account pays quarterly; Sirat's eDeposit pays at term. A saver living off deposit income will find neither ideal and should look at Al Rayan's monthly-paying Everyday Saver for the income layer, keeping BLME and Sirat for the growth layer where payment frequency does not matter.
For a published, bookable rate at 6 or 12 months, Sirat is the UK champion and the award shelf (Moneynet Best Fixed Rate Savings Provider 2026) agrees. For duration beyond three years, notice-account flexibility, a wholly Islamic balance sheet, an A+ Fitch rating and a Zakat Statement, BLME stands alone. The two are complements masquerading as rivals: the yield-maximising halal saver of 2026 probably holds both, and fills in around them from the fixed term table.
Frequently asked questions
Why does BLME not publish per-term rates?
No published rationale exists and we do not guess. The practical response: request the grid before assuming the headline applies to your term, and compare the quote against Sirat's printed numbers in this article.
Is the window structure at Sirat a compliance risk?
The products run under AAOIFI standards with IFAAS external audit and published certificates, and the FY2024 accounts confirm the Islamic book is written through Diminishing Musharika and Commodity Murabaha. The governance is real; what it lacks is named scholars, which some savers require and some do not. We flag it in every Sirat mention so nobody discovers it after funding.
Compare providers in your state
See side-by-side comparisons of Shariah-compliant products, or let our matcher recommend the best options for your situation.
Which is better for a business or charity?
Sirat negotiates business deposit rates from 10,000 GBP and opens business current accounts; BLME's shelf suits treasurers comfortable with correspondence servicing. Above 250,000 GBP, add Al Rayan's Wakala Treasury Deposit to the tender and make all three compete; our business banking guide covers the field.