Best Business Bank Accounts in the UK - 7 Top Picks [2025]

The right business bank account is essential for businesses of all sizes, whether you're an established company seeking a better fit or a new business just starting out. With countless account providers available, from traditional high-street banks to digital-only challenger banks, the decision can feel overwhelming.

But it doesn't have to be. In this guide, we've curated the top 7 UK-based business bank accounts to suit various needs. We'll compare critical factors such as features, fees, and eligibility requirements. Plus, we'll share practical tips to help you narrow down your choices and choose an account that fits your needs. 

The HSBC Kinetic Current Account combines the convenience of an online banking experience with the extensive services of a traditional banking institution.* Users can easily get cash flow and spending insights, pay overseas invoices, and access overdrafts and loans (subject to approval) through the mobile app.

Eligibility Criteria: Sole trader or single director limited company with an annual turnover of up to GBP 6.5 million per year. If you are a limited company, you must also be the sole shareholder. 

Key Features of the HSBC Kinetic Current Account

• No monthly maintenance fee for the first 12 months.
• Monthly cash flow outlook and categorised spending tools.
• Up to GBP 25,000 in-app payment limit.
• Send and receive money to and from over 200 countries and territories (fees apply).
• Accept card and contactless payments from your customers with a next-day settlement.
• Mobile cheque deposit.
• Free direct debits and standing orders.
• Apply for HSBC Kinetic Credit Card, overdrafts, and loans in-app.

HSBC UK’s Fees

For other fees, such as the cash deposit fee, please refer to the pricing page. Note that the fees exclude VAT.*

Pros and Cons of the HSBC Kinetic Current Account

The Monzo Business Pro is one of the business current account plans offered by Monzo, a digital bank founded in 2015. This account covers basic banking needs, such as spending insights and integrated invoicing and accounting, along with advanced features like custom spending categories and multi-user access.*

Eligibility Criteria: Only UK-based sole traders and registered limited companies can apply for a Monzo Business Account. Limited companies must have an active status on Companies House. 

Key Features of the Monzo Business Pro Account

• Send and receive UK bank transfers instantly and free of charge.
• Add up to two people to access the account.
• Accept contactless, card, Apple Pay, and Google Pay payments via Stripe (fees apply).
• Automatically set aside a portion of your income in Tax Pots for easy tax planning.
• Deposit up to GBP 100,000 in Instant Access Savings Pots and earn 1.60% AER interest monthly. 
• Integrate with Xero, FreeAgent, or QuickBooks accounting tools.
• Create virtual cards to spend from your main account or each Savings Pot, in addition to physical Mastercard® debit cards.
• Connect your other bank accounts or credit cards to streamline account management.
• Chat with the support team anytime using the Monzo app or phone. 

Monzo’s Fees

It’s important to note that the fees may change over time. The monthly fee mentioned applies to the Business Pro account.*

Pros and Cons of the Monzo Business Pro Account

As a digital bank, Starling Bank offers a free business current account with 24/7 in-app customer support and customisable add-ons to suit your business needs.*  You can enhance your account with the Business Toolkit for accounting and bookkeeping or opt for a EUR or USD local account to enable multi-currency capabilities. However, as of January 2025, the bank has paused new applications for the EUR and USD accounts.

Eligibility Criteria: Sole traders, limited companies, limited liability partnerships, and companies with multiple directors are eligible if they are registered at Companies House. Moreover, all directors with access to the account must be UK residents.

Key Features of the Starling Bank Business Account

• Make a fee-free domestic transfer of up to GBP 250,000 per transaction via the Faster Payments network. 
• Make international transfers to bank accounts in 34 countries worldwide.
• Organise your savings into separate spaces, like for tax and overheads. 
• Connect your account to Xero, QuickBooks, FreeAgent, and other business services. 
• Free access to multiple directors
• Streamline your bookkeeping and tax returns with an optional Business Toolkit add-on that enables you to manage your invoices, bills, tax, and VAT directly from your business account.
• Get support from a team of specialists 24/7 via app, phone, or email. 

Starling Bank’s Fees

While opening a Starling Bank account is free, here are some of the fees associated with using the business account.*

Pros and Cons of the Starling Bank Business Account

The Barclays Business Account for Startups is, as the name suggests, designed to provide simple, straightforward, and secure banking to businesses that are just starting out.* The startup account includes 24/7 in-app support and free invoicing and accounting software from FreshBooks, valued at over GBP 260 per year.

Eligibility Criteria: New business owners who are at least 18 years old and can provide proof of UK residential address for the past three years.

Key Features of the Barclays Business Account for Startups

• Make free simple electronic payments, including Faster Payments, direct debits, and standing orders.
• 24/7 business support via the mobile app.
• Free invoicing and accounting software from FreshBooks.
• Access a community hub of educational resources, events, and business connections through Eagle Labs.*
• Receive specialist support for social business mentoring, franchising, international trade, and digital engagement strategies.

Barclays’s Fees

Pros and Cons of the Barclays Business Account for Startups

Virgin Money’s M Account for Business is designed for businesses with a turnover of less than GBP 1 million and is among other products offered by Virgin Money, including personal current accounts and accounts for registered charities.*  The account has no monthly fee and is compatible with Apple and Google Pay.

Eligibility Criteria: Start-up, sole trader, limited company, limited liability partnership, or partnership with an annual turnover of less than GBP 1 million are eligible for application. Moreover, the business must be based and operated in the UK (excluding the Channel Islands, Isle of Man, and Northern Island). 

Key Features of the Virgin Money M Account for Business

• Make fee-free domestic bank transfers of up to GBP 30,000 per online transaction for free through the app and Business Internet Banking.
• Earn 0.25% cashback on debit card purchases.
• Get discounts on eligible spending when you use your debit card.
• Deposit cheques conveniently using the mobile app.
• Supports Apple and Google Pay for easy and secure mobile transactions. 
• Integrates with accounting software like Xero, QuickBooks, and Sage.
• Access expert mentoring and guidance from Virgin Startup.*

Virgin Money’s Fees

For other fees and pricing, such as the annual interest rate for borrowing, please refer to Virgin Money’s Business Banking Tariff Guide.*

Pros and Cons of the Virgin Money M Account for Business

NatWest offers a variety of banking options for businesses, including a standard business account and a range of business savings accounts. The NatWest Business Bank Account provides access to specialist business support, flexible lending options, and the free Entrepreneur Accelerator programme, in addition to basic banking features.*

Eligibility Criteria: Businesses with a turnover exceeding GBP 1 million or those with a turnover below GBP 1 million that have been trading for over a year.

Key Features of the NatWest Business Bank Account

• Access 24/7 banking online, over the phone, and through the app.
• Dedicated Relationship Manager (subject to turnover and eligibility criteria).
• Free accounting software from FreeAgent.
• Flexible borrowing options to support business growth.
• Connect with peers and experts through the free Entrepreneur Accelerator programme.
• Businesses with a turnover of up to GBP 2 million can get 2 years of free banking on everyday transactions by switching to NatWest.

NatWest’s Fees

NatWest offers 24 months of free banking, covering everyday transactions and automated payments, for eligible businesses. After this period, the standard tariff applies.*

Pros and Cons of the NatWest Business Bank Account

The Business Directplus Account is one of the business accounts offered by The Co-operative Bank, designed to provide flexible banking solutions for businesses. It offers features like mobile banking and optional tools to support sustainability, payment management, and insurance needs.*

Eligibility Criteria:  Sole traders, partnerships, limited liability partnerships, and limited companies with key individuals aged above 18 who are UK residents with a UK business address. Applicants must have no CCJs, bankruptcies, or IVAs in the past six years and no missed personal credit payments in the last six months.

Key Features of the Co-operative Bank Business Directplus Account

• No monthly account fee for the first 30 months (with a minimum balance requirement of GBP 1,000).
• Free access to the Go Get Paid payment request tool.
• Integration with accounting software.
• Optional subscription for complex payment types like bulk BACS.
• Additional business tools are available, including Clover payment solutions and AXA Insurance.

The Co-operative Bank’s Fees

For other fees, such as automated credits and debits, please refer to the Business Directplus Tariff page.*

Pros and Cons of the Co-operative Bank Business Directplus Account

When opening a business bank account, it is crucial to shop around and compare options to ensure you find the best fit for your specific needs. Once you’ve narrowed down your choices, follow these steps to make your final decision:

1. Identify your needs: Consider what’s essential for your business, such as international payment options, accounting software integration, or the ability to handle cash transactions. Having a clear idea of your requirements–as well as what you don’t need–will help you focus on the account that best aligns with your business operations. 
2. Compare costs: Review account fees, including monthly charges and transaction fees, and identify potential hidden costs. Look beyond the introductory or promotional offers to understand the long-term expenses. 
3. Check eligibility requirements: Review the specific criteria for each account, such as turnover thresholds, business structure, or industry restrictions, to ensure your business qualifies before applying.
4. Evaluate customer support: Reliable and accessible customer support can be invaluable, especially for small businesses. Check if the provider offers support through multiple channels like phone, email, or live chat and whether assistance is available outside standard working hours.
5. Check provider credentials: Make sure that the bank or provider is regulated by the Financial Conduct Authority (FCA) and that deposits are protected by the Financial Services Compensation Scheme (FSCS). 

Additionally, most banks in the UK participate in the Current Account Switch Service, which facilitates account switching from one provider to another. Choosing a business account with a bank that offers this service can ensure a hassle-free transfer in case you’re switching from an existing account or may need to change providers in the future. 

While we have carefully selected the top options based on common business needs, the best business bank account ultimately depends on your specific requirements and how you plan to use it. Take the time to evaluate the features you need (and don’t need), the pricing structure, and any additional services that could benefit your business. With the right account, you’ll be better equipped to manage your finances and support your business’s growth.