Best business bank account switching offers in the UK

By switching your business bank account, you may be able to reduce your monthly fees or take advantage of different features like smart bookkeeping tools. Switching has never been easier, so there’s no excuse for sticking with your existing bank if you’re unhappy.

A list of current switching offers from business bank account and e-money providers for 2023

Latest reviews of business bank account and e-money providers offering switching deals and sign-up bonuses

Tide - Tide Free

Finder rating

★★★★★

Customer rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

Get £100 cashback when you open a Tide Business account when using the code BF100.

Tide is a fintech app that offers business accounts to small businesses and freelancers, hoping to relieve some of the financial stress that comes with a growing company. One of the ways it does this is to help new businesses register their limited company and open an account all in one go. Tide also stands out for the number of accountancy software packages it can integrate with, giving you more choices to find one that suits your business needs.

• 24/7 customer support
• Categorised spending
• FCA regulated
• Quick set-up
• No monthly fees
• Easy to manage accounts and track payments within the app
• Ability to set up direct debits and standing orders
• Can receive online bank statements

• No branches - all done via the web
• Doesn't accept cheque deposits
• No personal accounts
• No international transfers or interest offered

Account fee	N/A
Bank transfers	N/A
Accounting integrations	Clear Books FreeAgent KashFlow QuickBooks Reckon One Sage Xero
Requires credit check	N/A
Overdraft	N/A

HSBC - HSBC Kinetic Current Account

Customer rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

No monthly account fee for the first 12 months.

One of the biggest benefits of this business account from HSBC is its easy application process. You can apply in just a matter of minutes via the app, providing you meet HSBC’s eligibility criteria. The account enables you to keep track of your spending and will automatically categorise transactions so you can see what’s going where. You’ll also have the option of an arranged overdraft and access to a savings account for your business. What’s more, the app can help you scan and deposit cheques securely, freeze and unfreeze your debit card and make payments of up to £25,000 per day. There’s also no monthly account fee for the first 12 months. To qualify, you must have a limited company and be the only director or sole shareholder, or be a sole trader and the sole owner of the business for which you are applying.

• Easy to apply for and manage
• Arranged overdraft
• Useful app features to help you track spending
• No monthly fee for 12 months

• Interest is charged on overdraft
• Monthly maintenance fee applies after first 12 months
• No interest paid on credit balances

Account fee	N/A
Bank transfers	N/A
Accounting integrations	QuickBooks Sage Xero
Requires credit check	N/A
Overdraft	N/A

Mettle by NatWest - Mettle by NatWest - Mobile business bank account

Finder rating

★★★★★

Customer rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

A free business account with no monthly fees.

Mettle is the first standalone business banking app offered by one of the high street banks, NatWest Group. It lets business customers apply for an account in minutes, forecast business performance and create invoices. All of this can be done from its free-to-use app, which rivals the mobile app-based business accounts already offered by challenger banks. Mettle’s app has some of the highest ratings in both the Apple App Store and Google Play Store, showing it’s invested in a mobile-first customer experience.

• Quick and easy application
• Freeze your card if you lose it
• Free, with useful features
• Backed by the Natwest group
• Sleek easy to use app

• Overdrafts are unavailable
• Daily payment limit of £10,000

Account fee	N/A
Bank transfers	N/A
Accounting integrations	FreeAgent QuickBooks Xero
Requires credit check	N/A
Overdraft	N/A

TSB - Business Plus

Finder rating

★★★★★

Customer rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

30 months of fee-free Business Banking when you switch to TSB.

TSB’s Business Plus account comes with 30 months free day to day banking as well as a free Square Reader. TSB also has an exclusive app, Revenu, which is designed to help you keep track of customer payments and send digital payment requests by SMS, email or QR codes. If you’re looking to grow your business, TSB offers 12 months of free specialist support and advice through Enterprise Nation. This includes expert podcasts, videos and weekly masterclasses. To qualify you must be aged 18 or over, a sole trader, partner or director and your business must be registered in the UK.

• Free everyday business banking for 30 months
• Free Square Reader
• Access to payments app
• Advice service

• Monthly service charge applies after 30 months
• Fees apply to certain transactions

Account fee	N/A
Bank transfers	N/A
Accounting integrations	FreeAgent QuickBooks Sage Xero
Requires credit check	N/A
Overdraft	N/A

Monzo - Monzo Business Lite

Finder rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

Get a free business account with no monthly fees.

Monzo has teamed up with international money transfer company Wise to support international payments. Wise is a specialised money transfer service that shows its fees and exchange rates upfront. If you are keen to avoid any nasty surprises, then you can use Wise’s calculator before making your payment to see how much you will be charged. Limits on how much you can send are the same as your daily and rolling 30-day transfer limits tied to your Monzo Business account.

• Fee-free spending abroad
• Custom payment links
• Pots to separate money

Account fee	N/A
Bank transfers	N/A
Accounting integrations	FreeAgent QuickBooks Xero
Requires credit check	N/A
Overdraft	N/A

The Co-operative Bank - The Co-operative Bank Business Current Account

Customer rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

Free everyday digital business banking with the original ethical bank, plus access to the free ‘Go Get Paid’ app from BankiFi to help you get paid faster, rated 4.9 stars.

This business account from the Co-op offers 30 months free everyday business banking, including unlimited ATM cash withdrawals, debit card purchases, faster payments and automatic debits and withdrawals. Fees apply to certain transactions and once those 30 months are up, a monthly service charge of £10 will be payable. Further benefits of the account include access to the payment app from Incomeing, helping you automate financial admin and get paid on time, plus access to legal, technical and HR services with Assurant. Customers also have access to merchant services with Fiserv, tailored business insurance cover with AXA, and access to free business webinars. The account can be managed via the app, online, over the phone or in branch. To qualify, you must be aged 18 or over and a UK resident, and your organisation must be a sole trader or a limited company that’s controlled or owned by one person.

• Free everyday business banking for 30 months
• Access to a payment app, as well as additional support services
• Multiple ways to bank

• Monthly service charge applies after 30 months
• Only suitable for sole traders or single directors
• Fees apply to certain transactions

Account fee	N/A
Bank transfers	N/A
Accounting integrations	QuickBooks Sage Xero Multiple providers
Requires credit check	N/A
Overdraft	N/A

Revolut - Revolut Business Free

Finder rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

Sign up today and unlock 1 month of a paid plan without subscription fees.

The business account from Revolut enables you to create, send, manage and reconcile invoices, all within its free service. Revolut is known for its multicurrency approach, and its business account is no different. You can receive, hold and exchange money in more than 25 currencies worldwide with no hidden fees. You can set up as many sub-accounts in each currency as you need. In addition, you can get fixed foreign exchange rates for a set amount and date in the future, and you can spend like a local worldwide with your company debit card in 150 currencies. Each team member can get up to 200 virtual cards and 3 physical plastic cards. You can set card limits, track, freeze and unfreeze cards, as well as decide where cards can be used. If you’re looking for something a little more impressive, choose the Revolut metal card, exclusive to Revolut’s paid plans.

• Flexible account options
• Mobile app with lots of good features
• Ability to issue cards to all employees
• Easy to apply
• Freeze card if lost or stolen
• Safe and secure
• Free purchases

• Free account does not include many free transactions
• All ATM withdrawals incur a charge
• Can't deposit cash or cheques into your account
• Not yet a fully fledged bank
• Currently unable to earn interest
• Direct debits only available for EUR accounts

Account fee	N/A
Bank transfers	N/A
Accounting integrations	FreeAgent Xero
Requires credit check	N/A
Overdraft	N/A

Cashplus - Cashplus Business Go Bank Account

Finder rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

No annual or monthly fee when you apply using the Finder link.

Opening a business bank account with bad credit can be complicated. Most banks carry out a credit check when you submit your application and reject it if you don’t meet the requirements. All is not lost, though! Some companies, like Cashplus, offer banking services perfect for businesses with poor or no credit history. There are no credit checks when you apply. The only thing that needs to be verified is your contact details.

• Open an account in 5 mins
• "Cashplus iDraft" once eligible
• Currency cards for travel
• Online services in addition to the mobile app

• Charge to have your bank card issued
• Traditional bank still needed for majority of your business finance needs

Account fee	N/A
Bank transfers	N/A
Accounting integrations	Clear Books FreeAgent KashFlow QuickBooks Sage Xero
Requires credit check	N/A
Overdraft	N/A

CountingUp - Countingup Starter Business Account

Finder rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

No monthly account fee for the first three months.

This two-in-one business account and accounting app is designed to make it easier to run your business. The account has built-in accounting software that automates bookkeeping and taxes to free up your time. New customers can benefit from a three-month free trial, after which the standard monthly pricing applies. There are three different pricing plans and how much you will be charged will depend on the total amount of monthly deposits your business makes. If your business has a quieter month, your subscription might decrease, while if you deposit a larger sum of money the following month, your subscription may increase. All plans include automated transaction categorisation, instant notifications, receipt capture to organise receipts, and invoice and billing features. Note that banking transactions will be charged a fee. The account can be opened in a matter of minutes via the app and you’ll receive a contactless Mastercard.

• Automated business accounting
• Contactless card
• Apply in minutes

• Subscription fee applies after first three months
• Fee can fluctuate from month to month
• No interest paid on credit balances

Account fee	N/A
Bank transfers	N/A
Accounting integrations	N/A
Requires credit check	N/A
Overdraft	N/A

Card One Money - Small Business Account

Finder rating

★★★★★

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• Why it’s great
• Pros/cons
• Details

No monthly account fee for the first three months.

Card One Money has designed its business bank account specifically for small businesses, and you can apply if you are a sole trader, partnership or limited company. You can set up the account through a speedy online process, with no credit check required. One of the biggest draws is that you can earn cashback for everyday use of your prepaid business card. Order up to 4 cards for your team and add money directly from your account.

• Quick application process
• No credit check required
• Cashback rewards available on the associated Mastercard
• No failed payment fees

• Quite a few charges involved compared to some other business accounts, including the £55 application fee, £12.50 monthly account fee and various other transaction fees
• No credit or overdrafts available

Account fee	N/A
Bank transfers	N/A
Accounting integrations	FreeAgent Sage Wave Xero
Requires credit check	N/A
Overdraft	N/A

Why should I switch business bank accounts?

There are several reasons to switch bank accounts. These could centre around cost, customer service or new features at a rival bank. Here are a few things to think about:

• Cost. By switching business bank accounts, you could get a better deal on fees. You may be able to reduce your monthly fee or manage to avoid charges on international payments.
• Incentives. Keep an eye out for incentives to switch. This could be introductory periods for free banking or some sort of bonus.
• Features. You could be missing out on features that will save you time and money. Invoice servicing, smart bookkeeping, expense management and account integrations can all make a big difference.
• Customer service. Experiencing poor customer service can be frustrating. Look for a bank that has positive customer testimonials or can offer services like relationship managers.

What is the business banking switch scheme?

There is no official business banking switch scheme. Instead, as long as you’re a small business with an annual turnover that does not exceed £6.5 million and you employ fewer than 50 people, you can use the Current Account Switch Service (CASS).

This means that your new business bank will switch your payments and transfer your balance, and your old bank will close your old account as long as you’re switching between banks and building societies that participate in the scheme.

Don’t get confused with the old RBS Business Banking Switch Scheme. This programme was one of the conditions for the government bailout of the RBS Group, which encouraged RBS business customers to switch to a number of challenger banks. It offered incentives such as “dowries” and financial contributions towards professional fees. But this scheme ended on 28 February 2021.

How do I switch business accounts?

If you’re using the Current Account Switch Service, it’s very easy to switch business accounts. First, make sure you’re eligible to switch. Your business must have fewer than 50 employees and an annual turnover below £6.5 million. Then follow these steps.

1. Find a new account by comparing features and charges.
2. Gather the documents you will need to open a new business account.
3. Open your new account and choose your switch date.
4. Ask your new bank to move your old account using the Current Account Switch Service.
5. Start using your new account on the agreed switch date.

As part of the Current Account Switch Guarantee, all your payments will be moved across, and any payments accidentally made to your old account will be automatically redirected to your new account.

Which business banks are part of the scheme?

To make use of the Current Account Switch Scheme, both your old and new bank need to be part of it.

There are over 40 participating banks and building societies in the UK. You can find the full list on the Current Account Switch Service website.

Expert analysis: Why it pays to use a business bank account over a personal one

Rachel Wait

Writer

Opening a business bank account for your company makes a lot of sense. For a start, some banks simply won't let you use a personal bank account for business transactions. What's more, opening a business bank account will make you look more professional and trustworthy to your clients, who might be happier making payments into a business account rather than a personal one.

Keeping your business transactions separate from personal payments will also make your life a lot easier when it comes to filing your tax returns, plus you can often sync accounting software with your business bank account. Additional benefits include that it can enable you to build a business credit score and you might be able to take advantage of switching perks and higher transaction limits.

Pros and cons

Bottom line

If you’re looking to switch your business bank account, plenty of choices are available. Consider any switching incentive that’s on offer, and make sure your new business bank account has all the right features and functionalities for you. You can use our best business bank accounts guide to help make your choice.

If your business is small enough, the Current Account Switch Service should make switching accounts painless.

Frequently asked questions

• Do business banks offer switching bonuses?

  Banks don’t tend to offer cash incentives for switching business bank accounts, unlike what they do for current accounts. Instead, you are more likely to get an introductory period of free banking or something similar.

• Can I switch my business account if I am overdrawn?

  You can still switch your business account if you are overdrawn. First, you’ll need to agree on any overdraft facilities with your new bank or building society. Alternatively, your new bank may be able to provide lending facilities to help you pay off your existing overdraft.