Since its launch in September 2013, the UK’s Current Account Switch Service (CASS) has facilitated over 10.3 million account switches. In the fourth quarter of 2023, CASS experienced a record high usage, with 433,701 switches made in anticipation of the holiday season. Various banks competed to attract customers through lucrative switching deals, such as Nationwide’s £200 incentive. November proved to be the peak month for switching, with 162,637 switches taking place.
John Dentry, the product owner at Pay. UK, the owner and operator of CASS, highlighted the significance of the Christmas period for current account switching. He also mentioned that despite the availability of higher interest rates, cash incentives, and other financial benefits, online and mobile banking remains the primary reason consumers prefer to switch accounts.
In comparison to the same period in 2022, the switching figures for the fourth quarter of 2023 saw a 15 percent increase. Looking at the bank-specific data for the third quarter of 2023, NatWest emerged as the most switched-to bank, gaining a net total of 59,158 accounts. It was followed by HSBC with 25,037 accounts, TSB with 15,754 accounts, and RBS with 6,382 accounts. In contrast, UK neobanks, such as Starling Bank, Monzo, and Chase, struggled to compete with the enticing incentives and saw a decline in the number of accounts.
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