Personal Tax Allowance vs Savings Allowance

I have just newly moved in to UK in early Jan this year. And because of some body health issues,  I cannot work any more and I have therefore, proceeded an early retirement. I do not have any income at all. If i would like to open a bank savings account, use the interest being earned, eg. around £10,000 to support my living, will I be taxed ? Even if i am not working, am I eligible to use the Personal Tax Allowance (eg. £12,750) to exempt the tax that might possibly imposed on my savings' interest. As the savings' interest is the only income source that can support my forthcoming living, i would appreciate to hear your advice. And, do I need to file/register a self tax assessment, as a proper way for HMRC to examine my profile so as to confirm the situation, in this regards? Appreciate any advice.

Hi Enq2023,

If you have no other income then your personal allowances can be used to cover the interest received.
As long as this remains below the allowances no tax will be due. If the interest is £10,000 or more, you will need to register for self assessment and complete a tax return.

Thank you.

Thank you very much for your advice. Am i understand it right, for self assessment purpose, the tier for interest (i.e: earned on savings) is £10,000 but not that same as the personal allowance as £12,750? So, that's how you have kindly stated, if the interest is £10,000 or more, you will need to register for self assessment and complete a tax return. And, if the savings' interest will only due/mature in end March next year, when should I register for self assessment and complete a tax return (ie: if the interest is £10,000 or more) ? Appreciate to receive your advice. Thanks.

Hi,

You are correct. You can register once the tax year has ended and you have confirmation that the amount is more than £10,000.

Thank you.