UK banks standardise small business processes
(7 February 2018 – United Kingdom) In a move to ward off the popularity of challenger banks, 18 banks in the United Kingdom have reportedly standardised the onboarding process for new small business (SMB) customers.
A statement from the participating banks said they have committed to standardising the process through which small businesses can sign up for a bank account, streamlining the information they need from applicants and collaborating with UK Finance to develop an online guide for small firms.
“As operators of the Current Account Switch Service, we welcome today’s announcement and believe it is another important step toward simplifying the account opening and switching process,” said Bacs Director of Product and Strategy Anne Pieckielon in a statement.
“We know that small business owners are busy enough without the need to deal with further layers of time-consuming admin, which, in many cases, could deter some from getting the very best deal from their business account.”
The announcement further noted that the UK Competition & Markets Authority recently highlighted the challenges SMBs face when trying to switch banks after investigating the financial services sector. The press release did not identify which banks have standardized the onboarding process.