Bank current accounts rates are costing businesses millions

The report found that interest rates are now lower than they were this time last year with four of the top five banks offering no interest whatsoever, and Santander offering just 0.25 per cent.

Nearly 96 per cent of all small enterprises use the five largest banks, but would be able to earn far more money if they looked elsewhere.

For example State Bank of India is paying 1.01% on deposits of over £10,000 and Allied Irish Bank (UK) paying 0.05% with just £500 deposit.

Recent figures from the British Bankers’ Association show small businesses held £95.3bn in business current accounts in 2015 compared to just £8.1bn in 2014.

There is no doubt that business owners are paying an exorbitant and rising price for not to switching their bank accounts, and rates are changing faster than ever.

The new challenger banks are competing for deposits and are trying to establish themselves in the market, so consider speaking to an adviser that can point you in the right direction.

Chorus Business Advisers offer free consultations to help clients, so why not call us on 0845 867 1263 or email info@chorusadvisers.co.uk

To read all previous finance related articles and advice for your business by Andy at Chorus, please cick the link https://www.leigh-on-sea.com/tag/listing/blog/finance