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UPDATED July 2023: Most banks have resumed their enterprise checking account operations. Santander is just permitting functions for brand spanking new enterprise financial institution accounts from current clients, although that is below evaluate.
To see the highest affords proper now, head to What are the very best enterprise financial institution accounts within the UK?
Authentic article, posted October 2020
Many banks have stopped accepting new functions for enterprise financial institution accounts because the coronavirus pandemic surged within the UK.
That is predominantly all the way down to elevated demand for government-backed emergency loans like Bounce Again Loans and the Coronavirus Enterprise Interruption Loans. Banks are specializing in offering these and tending to their current clients’ most urgent wants.
Which banks are nonetheless providing enterprise financial institution accounts?
SmallBusiness.co.uk has spoken to the next banks to seek out out the place they stand on accepting enterprise checking account functions.
HSBC
HSBC closed functions for brand spanking new enterprise financial institution accounts on September 30.
An HSBC UK spokesperson stated: “Because the introduction of the Bounce Again Mortgage Scheme, we now have given over £12bn of lending to the UK’s companies, as a part of an general £20bn bundle supporting our enterprise and private clients. As one of many solely banks that remained open to functions from all UK companies because the scheme’s launch, we obtained an enormous stage of demand. With the scheme closing on 30 November, we have to focus our assets on fulfilling current functions. We’re not accepting new functions for Bounce Again Loans from firms that don’t have an current HSBC enterprise account and we can even cease taking over any new small enterprise banking clients till 14th December. Functions submitted earlier than thirtieth September 2020 will proceed to be processed.”
Evaluate HSBC enterprise banking on NerdWallet
Metro Financial institution
Metro Financial institution have been opening enterprise accounts for brand spanking new to financial institution clients up till final Friday (October ninth). They’ve now put a brief pause on opening these accounts.
A Metro Financial institution spokesperson stated: “On account of the numerous surge in demand we’re seeing from companies opening new accounts with us, we’re not capable of settle for additional new enterprise account functions in retailer or on-line in the mean time.
“With the federal government lending schemes drawing to a detailed later this yr, we have to guarantee we are able to proceed to assist our current clients, the pipeline of latest account functions already in progress and related Bounce Again Mortgage functions which we’re persevering with to fulfil. We count on to reopen for brand spanking new functions early within the New Yr.”
Evaluate Metro Financial institution enterprise banking on NerdWallet
Lloyds Banking Group (Lloyds Financial institution, Financial institution of Scotland)
A Lloyds spokesperson instructed us that they stopped accepting utility initially of the pandemic. That is in order that they will see to current clients with pressing wants. They stated they might open enterprise financial institution accounts once more on the acceptable time.
RBS/NatWest
RBS and NatWest aren’t accepting new functions for enterprise accounts in the mean time.
A NatWest spokesperson commented: “We all know it is a troublesome and hectic time for our smallest enterprise clients, and we’ve been working tirelessly to ship the federal government schemes in a safe and sturdy approach – efficiently supporting 23 per cent of all lending throughout the three schemes. As a result of quantity of those functions, we proceed to prioritise our current clients regarding the authorities schemes.”
Santander
Santander’s web site says: “We’re not at the moment accepting new functions for Enterprise Present Accounts, however we are going to evaluate this place over the approaching weeks and additional particulars will probably be accessible on our web site.”
TSB
TSB’s web site says: “Sorry, we’re solely accepting Enterprise Present Account functions from current TSB Private Present Account clients right now. In the event you don’t have already got an account with TSB we gained’t be capable of settle for your utility for a Enterprise Present Account. That is to permit us to concentrate on supporting our current clients by means of this unprecedented time. In the event you submitted an utility earlier than twenty eighth September we will probably be in contact. We’ll replace our web site as quickly as we’re capable of open accounts for brand spanking new clients.”
Barclays
Barclays are accepting functions, however they too are experiencing elevated demand.
A spokesperson for Barclays stated: “We’re accepting enterprise present account clients however experiencing as delay on account of excessive ranges of demand.”
What about digital banking platforms?
Revolut, Tide, Monzo and Starling Financial institution have confirmed that they’re nonetheless providing enterprise accounts.
The usage of digital banking platforms elevated all through the 2010s with extra millennials searching for mobile-friendly banking apps. What’s extra, in response to a latest Direct Line survey, almost half of younger individuals wish to change into entrepreneurs. One in 5 have both began a brand new enterprise since lockdown or plan to start out one by the start of 2021.
With all of this in thoughts, it’ll be fascinating to see whether or not this will probably be a chance for digital platforms to take a higher share of the market or if enterprise clients throughout the board will stay loyal to the better-known excessive avenue banks.
If you wish to see all of your choices simply in a single place, you’ll be able to simply examine enterprise financial institution accounts with Nerdwallet now.
Learn extra
12 of the very best digital banking platforms for small enterprise – Contemplating a digital banking platform over one of many conventional stalwarts? We’ve picked out 12 of the very best to your perusal
Greatest enterprise financial institution accounts for sole merchants – We’ve rounded up a number of the greatest enterprise financial institution accounts created with sole merchants in thoughts
Opening a enterprise checking account – how-to and greatest accounts – On this piece, we’ll have a look at learn how to go about opening a enterprise account within the UK and what companies are on the market
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