Compound interest is when you earn returns on both your original investment and on the returns you've already earned. Over time, this creates exponential growth. For example, £10,000 at 7% annual growth becomes about £19,672 in 10 years—without adding any more money.
Understanding compound interest helps you plan savings goals, compare investment options, and see the real cost of delaying contributions. Our free compound interest calculator lets you model different scenarios with regular contributions, inflation, and more.