18 March 2026, LONDON –

Almost half of UK adults (49%) have now opened a digital-only bank account, according to Finder’s annual digital banking report, which is now in its 8th year. This is up from last year when 2 in 5 (40%) said they had a digital-only bank account. Since the study was first run in 2019, this number has risen from just 9% of the population who said they had an account.

The research from the personal finance comparison site revealed that the most common reason for opening a digital account was for easier transfer of money (32%), followed by wanting a more user-friendly app (27%) and better interest rates (26%). Free transactions abroad were also a popular incentive (25%).

Brits also highly rate the service quality from digital banks. In Finder’s 2026 Customer Satisfaction Awards, announced this week, the 4 top-rated current accounts providers were digital. The winner, first direct, plus Starling, Revolut and Chase each had 97% of their customers recommend them.

Switching offers remain a competitive advantage for high street banks

Despite the undeniable rise of digital banking, high street banks still have appeal as Brits’ primary bank accounts.

Finder research revealed that more than half of UK adults (53%) have 2 or more personal bank accounts, so Brits might be keeping their ‘main’ account with the high street to access switch offers – which often have requirements for monthly deposits and active direct debits – while opening a digital account for specific features such as easy online transfers or no fees abroad.

Current Account Switching Service (CASS) data for January to September 2025 shows that Nationwide had the highest net gains by a huge margin, with over 150,000. They ran cash switching incentives in March 2025 and September 2025, offering £175, and they are also known for rewarding loyal members with Fairer Share payments.

Monzo had the second highest net gains for bank account switches in 2025, suggesting that the bank is both attracting new customers and keeping them.

However, after Monzo, the rest of the top 5 for net gains were also high street names – HSBC, Co-operative Bank and TSB. These banks all ran competitive switching offers in 2025, something that digital banks don’t tend to do.

A sense of loyalty and branch access are still important factors

According to Finder’s research, 1 in 5 Brits (21%) still have no intention of opening a digital-only bank account, while an additional 14% remain unsure.

The top reason is loyalty to a current provider, selected by half (50%) of this group. This is followed by preferring the option to speak to someone in person and use branch services, chosen by a third (34%).

In-branch services are also still important to customers at a time when many banks are pulling back on high street presence. While Nationwide extended its ‘Branch Promise’ to 2030, other traditional banks have been closing bank branches. Lloyds, Halifax, NatWest and Santander have all announced plans to close branches in 2026.

Kate Steere, personal finance expert at the comparison site Finder, said:

“While switching offers can be tempting, don’t let a one-off cash incentive blind you to a poor user experience. It’s important to look for a current account that genuinely suits your financial needs.

“Neobanks like Monzo and Starling offer feature-rich apps, perfect for day-to-day budgeting and fee-free spending abroad. Banks rarely reward loyalty – Nationwide being the exception – so if these features sound appealing, it’s worth looking beyond traditional options to digital banks with budgeting tools that can help improve how you manage your money.

“The widespread appeal of digital banks was reflected in Finder’s 2026 Customer Satisfaction Awards, where the 4 top-rated current accounts were digital: first direct, Starling, Revolut and Chase.

“However, if branch support and face-to-face service are more important to you, this should be your priority when choosing a current account. Banking is ultimately a very personal decision so choose the bank that supports your day-to-day finances – rather than just the one waving a shiny reward in your face.”