21 August 2017
Find out more

600,000 Brits switch bank account providers in H1

16 July 2014  |  5477 views  |  0 current account switch guaranteee

Around 593,000 Brits switched their bank account provider in the first six months of 2014, a 16% year-on-year increase, suggesting many are taking advantage of a new system designed to make the process quicker and easier.

Launched last autumn, the free current account switch service allows people to move providers within seven working days, down from the previous average of 18 to 30 days. Customers do not need to liaise with their old provider and get to choose the exact date of the move, with all outgoing and incoming payments redirected to the new account.

With a major advertising campaign behind it, takeup has benefited from strong customer recognition. A Payments Council-commissioned poll found that, unprompted, 67% of people are now aware of the system, up from 64% at the start of the year. Confidence has also risen, from 63% to 65%.

Adrian Kamellard, chief executive, Payments Council, says: "Awareness and confidence levels are up as individuals, small businesses and charities are getting the message that switching has become easy and straightforward. Competition is growing as existing providers are upping their offerings and challenger banks are competing to attract new customers. This all amounts to greater choice and good news for customers."

Despite the positive figures, politicians are still keen on going further and forcing full account portability on banks. At the behest of the government, the new payments regulator is currently working on a review into the costs and benefits of such a system, which would cost banks several billion pounds but has been championed by treasury minister Andrea Leadsom.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Quarter of Brits would consider leaving bank over IT meltdown - survey

Quarter of Brits would consider leaving bank over IT meltdown - survey

04 December 2013  |  5704 views  |  1 comments | 10 tweets | 7 linkedin
Modest start for UK account switching service

Modest start for UK account switching service

22 October 2013  |  3426 views  |  1 comments | 1 tweets | 3 linkedin
Brits rush to switch bank current account providers

Brits rush to switch bank current account providers

25 September 2013  |  6518 views  |  2 comments | 14 tweets | 9 linkedin
UK bank account switching service arrives but full portability still on cards

UK bank account switching service arrives but full portability still on cards

16 September 2013  |  9686 views  |  0 comments | 8 tweets | 3 linkedin
EU proposes bank account switching Directive

EU proposes bank account switching Directive

08 May 2013  |  6434 views  |  1 comments | 8 tweets | 3 linkedin
UK Payments Council board backs account switching plan

UK Payments Council board backs account switching plan

15 September 2011  |  9904 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.dorsum.eudownload the paper nowvisit www.niceactimize.com

Who is commenting?

A Finextra member Finextra Member Commented on: Real-time payments in...
A Finextra member Finextra Member Commented on: Barclays uses sensors...

Top topics

Most viewed Most shared
Mobile contactless spending accelerating in UKMobile contactless spending accelerating i...
11507 views comments | 26 tweets | 23 linkedin
Barclays pairs banking data with third party apps for SmartBusiness DashboardBarclays pairs banking data with third par...
9765 views comments | 22 tweets | 31 linkedin
hands typing furiouslyWhy Is Risk Analytics Important?
9586 views 0 | 5 tweets | 1 linkedin
Norwegian banks and startups form fintech clusterNorwegian banks and startups form fintech...
9329 views comments | 19 tweets | 23 linkedin
RBS to bring Silicon Valley to EdinburghRBS to bring Silicon Valley to Edinburgh
9240 views comments | 10 tweets | 8 linkedin