Several major UK banks are offering cash incentives to attract customers to switch their current accounts, with some payments reaching as high as £500. Financial guidance group MoneySavingExpert (MSE), founded by Martin Lewis, has highlighted a range of current account switching deals currently available.
The size of the bonus depends on the bank and eligibility criteria. Lloyds, Barclays and Santander are among the institutions offering payments of £100 or more to customers who move their existing current account using the official switching service.
Overview
Switching bonuses are promotional offers designed to encourage customers to transfer their main banking relationship from one provider to another. In most cases, customers must meet certain requirements, such as paying in a minimum monthly income or setting up Direct Debits.
Below is a summary of selected switching offers currently available:
| Bank | Bonus | Key Requirement |
|---|---|---|
| Lloyds Premier | £500 | Approx. £85,000 salary |
| Barclays Premier | £400 | £75,000+ salary |
| Santander Edge | £200 | £500+ monthly deposit |
| Club Lloyds | £200 | Standard switching criteria |
| First Direct | £175 | Standard switching criteria |
| Nationwide | £175 | Includes 1% cashback |
| NatWest | £150 | Plus £36 annual cashback |
| Co-op Bank | £100 + £75 | Extra £75 for staying |
The highest bonuses are generally reserved for higher earners.
Lloyds
The Lloyds Bank Premier current account currently offers a £500 switching bonus. However, it is aimed at higher earners, typically those with an annual salary of around £85,000.
In addition to the upfront payment, customers can choose annual rewards. Options include 12 months of Disney+ with ads, cinema tickets, Coffee Club and Gourmet Society membership, or a magazine subscription.
Other features include:
- 1% cashback on most spending, capped at £10 per month
- A Bupa subscription with digital GP access and up to six physiotherapy appointments per year
- Access to a linked regular saver paying 6.25% fixed interest for one year on up to £400 per month
- No debit card fees on overseas spending
These benefits are designed to add ongoing value beyond the initial switching payment.
Barclays
Barclays Premier offers a £400 switching bonus for eligible customers. This account is also targeted at higher earners, generally those earning £75,000 or more annually.
Customers who switch receive access to Barclays’ Blue Rewards programme without the usual £5 monthly fee. According to MSE, this includes an Apple TV+ subscription and access to a savings account paying 4.21% interest on balances up to £5,000.
Additional features may include a potential 0% overdraft of up to £500, subject to approval.
Santander
Santander’s Edge current account offers a £200 switching bonus. Unlike the Premier accounts above, this deal is accessible to a broader range of customers.
The account has a £3 monthly fee and provides 1% cashback on selected household bills, including:
- Energy
- Council tax
- Broadband
- TV
- Mobile
- Water
Cashback is capped at £10 per month.
The linked Edge Saver account pays 6% interest on balances up to £4,000 for the first year. At the maximum balance, this equates to approximately £240 in interest over 12 months.
To qualify for cashback and interest benefits, customers must pay in at least £500 per month and set up two or more Direct Debits.
Santander has also offered a £25 Amazon voucher as part of a limited-time promotion, scheduled to end on 27 February.
Other Banks
Other switching deals are also available:
- Club Lloyds offers £200 and additional perks.
- First Direct provides £175 for eligible switchers.
- Nationwide offers £175 along with 1% cashback.
- NatWest provides £150 plus up to £36 annual cashback.
- Co-op Bank offers £100 for switching and an additional £75 for customers who remain with the bank.
Each bank applies specific eligibility rules and conditions.
Advice
MoneySavingExpert advises customers to consider more than just the headline bonus. Factors such as account fees, interest rates, cashback limits and additional benefits should be assessed carefully.
Customers should also consider how they prefer to manage their account. Some banks operate primarily online or through mobile apps, while others maintain physical branches. Choosing the right option may depend on whether in-person service is important.
Current Accounts
A current account is a standard bank account used for everyday financial management. It allows customers to receive income, pay bills, withdraw cash and make card payments.
Most current accounts include features such as online banking, mobile apps, Direct Debits, standing orders and sometimes overdraft facilities. Switching accounts typically involves using the Current Account Switch Service, which transfers payments and balances within seven working days.
Customers considering a switch are encouraged to review eligibility requirements and ensure they meet deposit or income thresholds before applying.
FAQs
Which bank offers £500 for switching?
Lloyds Premier offers £500 for eligible customers.
Who qualifies for Barclays Premier?
Typically those earning £75,000 or more.
Is there a fee for Santander Edge?
Yes, it has a £3 monthly fee.
What is a current account?
An account for daily banking and bill payments.
