Thanks for the reply. I think I understand what you are saying.
For example: If the combined interest we earnt in year 1 was £3,000. Then we would split it 50/50 (£1,500 each). So I pay tax on the £500 which is over my allowance (£1,000). But my partner doesn't pay any tax because their allowance is £5,000.
Is this correct?
Me and my married partner are UK domiciled Non-resident British expats who have been living in the UAE for 10+ years. We both have separate UK income from property in the UK. My partners UK income is less than £10,000 per year. My UK income is over the £17,570 personal savings allowance.
Firstly, is it possible for us to transfer money from the UAE into a joint fixed rate savings account in the UK? Also, as my partner should have a personal savings allowance of £5,000, is it possible to combine our Personal savings allowances for our joint savings account?
This should result in a combined personal allowance of £6,000 before any tax is applied to interest earnt on UK savings.
Hopefully this makes sense.