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Report
en_GB
Overall satisfaction with main current account providers remains positive, with 88% being 'satisfied' or 'very satisfied' with their respective provider. However, dissatisfaction is highest among…
UK
Banking and Payments
simple
UK Current Accounts Market Report 2025
"Most consumers are satisfied with their current account. However, ongoing financial pressures are prompting many to seek accounts offering better value or rewards."
Lewis Cone, Associate Director - Financial Services
Overall satisfaction with main current account providers remains positive, with 88% being ‘satisfied’ or ‘very satisfied’ with their respective provider. However, dissatisfaction is highest among more tangible factors, such as rewards and interest rates.
Many rewards offered by providers are veered towards younger lifestyles and so there remains scope to tailor rewards that are better suited to older customers.
Older consumers are more likely to have held their main current account with the same provider for a long time. This built-up loyalty and trust can make it difficult for providers to appeal to this group.
Having access to a branch is a far more important issue for older account holders, as they have built-up financial experience via in-person banking. Any providers that continue to offer branch facilities, such as Nationwide, will hold a competitive edge with these customers.
Only half of those who describe their finances as struggling think their current account provider will help them if they got into financial difficulty. Providers need to improve communications and how they signpost support services to those who require them, while displaying compassion and understanding to those in a financially, and emotionally, delicate situation.
This Report Looks at the Following Areas:
The impact of the economic climate and regulation on current accounts
Market size and performance, including a five year market forecast
Market share of the leading current account providers
Current account ownership and the types of accounts held
Current account owners’ overall satisfaction with providers, including level of satisfaction with customer service and the interest raid paid on account balances
Current account switching intentions and incentives, including the level of interest in non-cash rewards and access to physical branches and investment tools
Current account owners’ trust in providers supporting them if they entered into financial difficulty and interest in opening a current account with a more ethical provider
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EXECUTIVE SUMMARY
Opportunities for the current accounts market
Round-the-clock customer service key for under 35s
Increase fee-paying accounts’ flexibility to boost value perceptions and suitability
Improve communications around support services, while highlighting benefits of data sharing
Market dynamics and outlook
Slight decline in the number of current accounts in 2025
Graph 1: estimated number of current accounts, 2021-25
Barclays leads both main and multiple current account markets
Graph 2: main current account market share, 2025*
Graph 3: multiple current account market share, 2025**
Overdraft rates stabilise, but remain high
Graph 4: interest rates on selected products, 2021-25
Switching activity via CASS shows gradual improvement in 2025
Graph 5: number of switches per month using the CASS, 2023-25
FCA sets out steps to improve access to bank accounts
What consumers want and why
Almost all Brits have a current account
Graph 6: current account ownership, 2024 and 2025
Standard accounts are most popular with consumers
Graph 7: types of current account held, 2025
App and site experience provide highest satisfaction
Graph 8: satisfaction with main current account provider – net, by factor, 2025
Financial incentives are key switching motivators
Graph 9: important factors when considering switching main current account provider, 2025
Current account suitability is high, but most do not check for better deals
Graph 10: attitudes towards current accounts, 2025
Advertising and marketing
Current account advertising spend surges in 2024/25
Graph 11: total above-the-line, online display and direct mail advertising on current accounts, 2020/21-24/25
Pay.UK launches ‘avoid unwanted surprises’ campaign to ease switching concerns
Competitive strategies and launch activities
Providers target the current account switching process and incentives
MARKET DYNAMICS
Market size
Slight decline in the number of current accounts in 2025…
Graph 12: estimated number of current accounts, 2021-25
…while banks offer rewards to switch accounts
Market share
Almost three-quarters have an account with the ‘big four’
Long-established relationships and legacies drive use of largest banking brands
Lloyds Banking Group is home to the most current accounts on a group basis
Graph 13: current account ownership, by banking group, 2025
Barclays leads both main and multiple current account markets
Graph 14: main current account market share, 2025*
Graph 15: multiple current account market share, 2025**
Multiple account owners use challenger and digital banks, but the big 4 remain on top
Graph 16: type of current account provider used, by number of current accounts held, 2025
Market drivers
Sticky inflation maintains appeal of switching accounts
Overdraft rates stabilise, but remain high
Graph 17: interest rates on selected products, 2021-25
Consumer confidence is improving, but trade tariff pressures loom
Graph 18: financial confidence index, 2020-25
Bank branch number continues to fall, despite persistent consumer need
Graph 19: bank and building society numbers, 2019-24
Switching activity via CASS shows gradual improvement in 2025
Graph 20: number of switches per month using the CASS, 2023-25
Increased awareness of CASS drives switching activity
Regulation and legislation
FCA sets out steps to improve access to bank accounts
Government proposes extending the notice period for bank account closures
WHAT CONSUMERS WANT AND WHY
Current account ownership
Almost all Brits have a current account
Graph 21: current account ownership, 2024 and 2025
Multiple account ownership is highest among under 35s
Graph 22: current account ownership – net, by age, 2025
Highest earners seek added value from holding multiple bank accounts
Graph 23: current account ownership – net, by household income, 2025
Own-named accounts remain most common…
Graph 24: joint current account ownership, 2024 and 2025
…but homeowners are most likely to have a joint account alongside their own
Types of current account
Standard accounts are most popular with consumers
Educate consumers on the potential money-saving aspects of fee-paying accounts
Increase fee-paying accounts’ flexibility to boost value perceptions and suitability
Graph 25: type of current account owned – net, by age, 2025
Current account satisfaction
Most current account customers are satisfied with their main provider
App and site experience provide highest satisfaction
Graph 26: satisfaction with main current account provider – net, by factor, 2025
Tailor rewards to better suit older customers’ lifestyles
Ongoing branch closures could lead to a satisfaction tipping point
Graph 27: satisfaction with access to physical banking facilities, by age, 2025
Key driver analysis of current account satisfaction
Rewards, rates, branches and overdrafts are all areas for improvement
Promote customer service and app experience, but improve value-added benefits
Current account switching factors
Financial incentives are key switching motivators
Graph 28: important factors when considering switching main current account provider, 2025
Promote branch availability to appeal to older customers
Graph 29: access to a physical branch is an important switching factor, by age, 2025
Round-the-clock customer service key for under 35s
Adding investment tools to accounts will meet younger customer demand
Investing tools would most strongly convince younger customers to switch
Promote zero-fee overseas spending during peak holiday seasons
Attitudes towards current accounts
Current account suitability is high, but most do not check for better deals
Graph 30: attitudes towards current accounts, 2025
Improve communications around support services, while highlighting benefits of data sharing
Boost overdraft facilities in fee-paying accounts to attract younger customers
Graph 31: I think fee-paying accounts offer good value and I expect to use an overdraft more in the next year, by age, 2025
Ethical current accounts strongly appeal to Gen Z city dwellers
Promote green/sustainability credentials to environmentally-conscious younger customers
INNOVATION AND MARKETING TRENDS
Competitive strategies
Virgin Money partners with Mastercard to launch innovative open banking solution
Zempler Bank simplifies switching for the most financially vulnerable
Launch activity and innovation
Paragon looks to Spring consumers into account interest-earning action
Zopa Bank enters the current account market with Biscuit
New current account launches target opportunities
Advertising and marketing activity
Current account advertising spend surges in 2024/25
Graph 32: total above-the-line, online display and direct mail advertising on current accounts, 2020/21-2024/25
Brands focus on social and digital channel advertising
Graph 33: share of total atl, online display and direct mail advertising on current accounts, by media type, 2024/25
Pay.UK launches ‘avoid unwanted surprises’ campaign to ease switching concerns
Zopa Bank urges consumers to grab a Biscuit in its multichannel campaign
LHV Bank targets Reckless Savers for its new current account offering
APPENDIX
Supplementary data
Market size methodology
Market size methodology data
Top 10 current account advertisers by spend
Total current account advertising spend by media type
Report scope and definitions
Market definition
Market share definitions
Abbreviations and terms
Methodology
Consumer research methodology
CHAID analysis – methodology data
CHAID analysis – methodology data table
Key driver analysis – methodology
Key driver analysis – methodology data
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