Free business bank account: what £0 a month really gets you

What a free business bank account actually means

When a provider calls something a free business bank account, it's talking about the plan price. You don't pay a monthly or annual fee to keep the account open. Everyday basics, like UK card payments, are often free too.

What changes between providers is everything around that £0. One account might give you unlimited UK transfers but charge for every cash deposit. Another might include cash at a lower cost but limit how many transfers you can make before a fee kicks in. So two free business bank accounts can leave you with very different bills.

The useful question isn't "is it free?" It's "what will I pay, given how I actually use my account?" A free business bank account is a good deal when the charges it does have fall on things you rarely do.

Charges that still apply on a £0 plan

On every free business bank account we looked at, the same handful of charges come up. Here's what to look for:

Transfer allowance

Some free business bank accounts include a set number of UK transfers each month, then charge per payment. Tide counts transfers in and out; Zempler counts payments you send.

Cash deposits

Paying in notes and coins at the Post Office or PayPoint almost always costs something, either a flat fee or a percentage.

Card spending abroad

Some free business bank accounts add a percentage to payments in other currencies. Others use the card scheme's rate with no extra fee.

Same-day high-value payments

CHAPS payments usually carry a fee, even on accounts that make Faster Payments free.

Features behind a paywall

On a free business bank account, invoicing, tax pots or accounting connections may need a paid upgrade.

Our guide to business bank account fees goes through each charge you might meet on a free business bank account in more depth, with a method for estimating a typical month.

Every free business bank account we track, side by side

Six of the accounts we compare offer a free business bank account plan. The figures below come from each provider's own pricing pages and fee documents, checked on 25 October 2026. Wise Business isn't included because it charges a one-off £50 set-up fee, and Revolut Business plans start at £10 a month.

Notice the protection column. Five of these free business bank accounts hold your money with a bank, so eligible deposits are covered by the FSCS up to £120,000. ANNA's main account is an e-money account, where money is safeguarded instead. Our guide to bank vs e-money accounts explains the difference. For the full list, including paid accounts, see compare business bank accounts.

The catch on each £0 plan

Every free business bank account has a trade-off. None is hidden, but each sits in a different place:

• Tide Free: the 5-transfer allowance includes money coming in, so a busy month of client payments uses it up quickly. CHAPS costs £15, and there's a 2.75% fee on card payments in other currencies. Invoicing is limited to 3 a month.
• Starling: CHAPS costs £20 a payment, cash deposits cost 0.7% with a £3 minimum, and there's no interest on the main account balance. Arranged overdrafts are for limited companies only.
• Monzo Business Lite: invoicing, Tax Pots and accounting software connections need the Pro plan, from £9 a month. Cash withdrawals outside the EEA cost 3% once you pass £200 in a rolling 30 days.
• Mettle: each cash deposit costs £2.75 and each cash withdrawal £1. There are no outbound international payments, and only one person can access the account.
• Zempler Business Go: just 3 free transfers before the 35p charge starts, £2 per UK ATM withdrawal and £3 abroad, and a 2.99% fee on card spending in other currencies.
• ANNA Free: the 0.95% charge on incoming money over £1,000 a month can add up if most of your income lands in this account. The main account isn't FSCS-protected.

One condition is easy to miss: Mettle includes FreeAgent accounting software at no cost only if you make at least one transaction a month from your Mettle account.

Matching a £0 plan to how you work

The easiest way to choose a free business bank account is to start with the thing you do most. A free business bank account that's generous where you're busy and strict where you're quiet will cost you very little.

If you're a sole trader still deciding whether you need a separate account at all, our guide do sole traders need a business bank account? covers what GOV.UK says.

When a paid plan earns its keep

A free business bank account isn't always the lowest-cost choice for every business. A paid plan is worth it when it removes more in charges than it costs, or adds a tool you'd otherwise buy separately. Some examples from providers' own pricing:

Before you upgrade, check whether VAT is added: ANNA shows paid prices plus VAT, while Tide's plan pages say it won't charge VAT.

The Tide Free plan

Tide is our featured partner. Its Free plan has no monthly fee and includes a Mastercard debit card, Payment Links, Tap to Pay on your phone, Making Tax Digital tools and 3 invoices a month. Eligible deposits are held with ClearBank, a UK bank, and covered by the FSCS. You can read how that works in is Tide safe?

As a free business bank account, it suits you if you make a handful of transfers a month and rarely pay in other currencies. If you do more, the per-item charges add up, and our Tide fees guide works through examples so you can see the point where Smart costs less.

Tide is our featured partner. We may earn commission from referrals. Disclosure

Checklist before you choose

Before you open a free business bank account, check you can tick these off:

• I've counted my UK transfers for a typical month, both in and out.
• I know how often I pay in cash and the usual amount.
• I know roughly what I spend by card in other currencies.
• I've checked whether I'll need CHAPS or international payments.
• I've checked which tools (invoicing, tax pots, accounting links) sit on the £0 plan.
• I've checked whether my money is FSCS-protected or safeguarded.
• I've read the provider's current fee page, because charges change.

Free business bank account FAQs

Sources

• Tide: pricing and plans and Tide help centre fee pages (checked 25 October 2026)
• Starling: business and sole trader schedule of rates, fees and charges (April 2026)
• Monzo: business account fee information (version 1.16)
• Zempler Bank pricing page, Mettle fee information document and ANNA business account pricing (checked 25 October 2026)