17 October 2017

600,000 Brits switch bank account providers in H1

16 July 2014  |  5532 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  |  5770 views  |  1 comments | 10 tweets | 7 linkedin
Modest start for UK account switching service

Modest start for UK account switching service

22 October 2013  |  3479 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  |  6569 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  |  9768 views  |  0 comments | 8 tweets | 3 linkedin
EU proposes bank account switching Directive

EU proposes bank account switching Directive

08 May 2013  |  6500 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  |  9982 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.temenos.comvisit www.vasco.comvisit www.innotribe.com

Top topics

Most viewed Most shared
Ripple looks to drive bank adoption with $300m XRP rebate programmeRipple looks to drive bank adoption with $...
14553 views comments | 11 tweets | 3 linkedin
Taiwan's Far Eastern International Bank suffers malware attackTaiwan's Far Eastern International Bank su...
13133 views comments | 16 tweets | 22 linkedin
Monzo fends off suitors as current account upgrade beginsMonzo fends off suitors as current account...
9012 views comments | 17 tweets | 14 linkedin
Swift positive on blockchain, but big challenges remainSwift positive on blockchain, but big chal...
8005 views comments | 15 tweets | 20 linkedin
Ripple blockchain network hits 100-member markRipple blockchain network hits 100-member...
7661 views comments | 13 tweets | 13 linkedin

Featured job

circa £250K total package
London

Find your next job