Free business bank accounts UK 2026: no monthly fee options

Five UK providers offered a business bank account with no monthly fee when we checked on 6 November 2026: HSBC’s Small Business Banking Account, Mettle, Monzo Lite, Starling and Tide Lite. Several high-street banks also waive their fee for 12 months or more for start-ups or switchers. “Free” usually means no monthly charge, not no charges at all, so check cash and transfer fees before you choose.

Providers are listed alphabetically, using each one’s own website. Terms change, so confirm before applying.

Which business accounts have no monthly fee?

These accounts showed no ongoing monthly fee on 6 November 2026.

All five are run mainly through an app or online banking. HSBC also offers branch access as a high-street bank. HSBC does not set out the account’s eligibility rules on its business accounts page, so check with HSBC before applying.

What do free accounts still charge for?

Free accounts make money from extras, mainly cash handling, transfers over an allowance and paid upgrades. Here is what each charges.

HSBC charges for cheques and CHAPS payments on the Small Business Banking Account.

Mettle charges £1 for each cash withdrawal with its card and £5 to replace a lost or damaged card, according to its fees and charges.

Monzo gives free UK cash withdrawals and free withdrawals in the EEA, per its fee information dated 18 August 2026.

Starling says it has no monthly fees and no fees on UK transfers in or out, and cheques can be paid in free, on its business account page.

Tide also charges 3% for cash paid in at PayPoint. Its pricing page shows Lite with 5 free transfers a month.

Paid upgrades on free accounts

Most free accounts sell optional paid tiers with more features.

• Mettle+: £4 a month.
• Monzo Pro: £9 a month. Monzo Team: £25 a month plus £5 for each member after six.
• Tide Smart: £12.49 a month with 30 free transfers. Pro: £27.49. Max: £69.99, both with unlimited transfers.

If you outgrow Tide Lite’s 5 transfers, the jump to a paid plan is the main cost to plan for. See business bank account fees compared for a fuller fee breakdown.

High-street banks with a free period

Several high-street banks waive their monthly fee for a set time. After that, a fee applies.

The conditions differ:

• Barclays waives the fee for 12 months only if you do not already have a Barclays Business Account.
• NatWest gives two years of free everyday banking to businesses with annual turnover up to £2 million that switch using the full Current Account Switch Service. It does not cover international payments, Bankline or unarranged overdraft charges.
• Santander gives 12 months free to start-ups in their first year of trading and to businesses switching through the Current Account Switch Service.

Is a free account safe?

A free account is as safe as any other if it is a UK bank deposit. The FSCS protects eligible deposits up to £120,000 per eligible depositor per firm, a limit that rose from £85,000 on 1 December 2025.

Some accounts are e-money accounts instead. Mettle states its e-money account is not FSCS protected, although its bank account, provided by National Westminster Bank plc, is. Tide says its ClearBank-provided accounts are FSCS protected, while some older Tide e-money accounts are safeguarded rather than covered.

Which applies to you?

• If you are a sole trader with few transactions, a no-fee app account is usually enough. See how to register as a sole trader.
• If you handle cash weekly, compare per-deposit fees; a free account with high cash charges can cost more than a paid one.
• If you make more than 5 payments a month, check the transfer allowance on Tide Lite before choosing it.
• If you want a branch, consider HSBC or a high-street free period, and diarise when the fee starts.
• If you are setting up a company, see how to set up a limited company and business bank accounts for startups.

What to do now

1. Estimate your monthly transfers and cash deposits.
2. Shortlist two or three accounts and work out the charges from their fee pages.
3. Check whether the account is a bank deposit or e-money.
4. If you take a free period, set a reminder a month before it ends.

Frequently asked questions

Are there completely free business bank accounts in the UK?

Several accounts have no monthly fee, including HSBC’s Small Business Banking Account, Mettle, Monzo Lite, Starling and Tide Lite. Most still charge for cash deposits or some extras.

Which free business account has no transfer limit?

Monzo and Starling both say UK transfers are free with no allowance stated. Tide Lite is limited to 5 free transfers a month.

Do high-street banks offer free business banking?

Barclays and Santander waive their monthly fee for 12 months for eligible customers, and NatWest gives two years free to eligible switchers. HSBC’s Small Business Banking Account has no monthly fee.

Can a limited company open a free business bank account?

Usually, yes, but eligibility varies by provider and account. Keep company money separate from your own, and check each provider’s rules for limited companies before applying.

Is my money protected in a free business account?

Eligible deposits at UK banks are protected by the FSCS up to £120,000. E-money accounts are safeguarded rather than FSCS protected.