The most popular bank to switch to in 2025 – and what to know before moving

The number of people switching banks hit a high in July, according to the latest figures from the Current Account Switch Service (CASS).

A total of 111,244 switches were completed that month – the highest monthly figure so far this year. 

Since launching in 2013, CASS has handled more than 12.1m switches.

Here, Which? looks at which banks proved most popular, what to consider before switching, and where you can get a cash incentive to move.

How many switches took place in 2025?

The table shows the number of switches that have taken place in 2025 so far. 

Which banks gained the most customers?

While July was the busiest month of 2025 so far, CASS hasn’t yet released the bank-by-bank breakdown for that period. 

The latest figures by provider cover April to June and show net changes – the number of customers gained minus the number who left.

All of the banks in our table saw a net increase in customers over the first three months of the year.

Nationwide came out on top for switches between April and June 2025, adding 54,347 customers during this period. Its switching offer, as well as its Fairer Share bonus scheme, may have played a role in attracting new account holders. 

The Co-operative Bank came in second, collecting 9,175 more customers. In May, the high street bank launched a switching offer of £175 and, although this ended a month later in June, it likely added an incentive for customers to switch. 

Which? Recommended Provider Monzo followed, with 8,246 more customers. Although the app-based bank doesn’t often run switching incentives, it continues to be a popular choice.

HSBC, which includes its online brand and Which? Recommended Provider First Direct, gained 8,219 customers. First Direct’s £175 switching offer likely helped boost numbers.

• Find out more: best banks and bank accounts in the UK 2025

Which banks lost the most customers?

While some banks saw strong gains, others lost thousands of customers over the same period.

Santander recorded the biggest losses, with 33,438 people switching away and just 10,423 joining – resulting in a net loss of 23,015

Barclays followed, losing 22,316 customers overall and only gaining 3,979, while Halifax saw a net drop of 14,752. 

According to CASS data, these were the biggest customer losses between April and June 2025:

• Find out more: best joint bank accounts 2025

Why are people moving banks?

There are several reasons why people choose to switch their main bank account.

According to CASS, the most common motivation is better online and mobile banking, with 47% of switchers saying this was why they preferred their new account.

Higher interest rates came next, chosen by 37% of respondents. For example, First Direct - which featured among the top gainers - offers a regular saver paying 7%, while Nationwide offers 6.5%.

Other important factors included improved customer service, cited by 31% of switchers, along with spending benefits and lower account fees or charges, both mentioned by 24%.

• Find out more: how to open a bank account online 

How much can you earn by switching?

Banks and building societies often offer cash or other perks to new customers who make a full switch from their existing current account.

The switching market is competitive, with six providers currently offering incentives:

• Barclays: £200 (£400 for Premier customers)
• TSB: £150 + £30 cashback
• NatWest: £175
• Nationwide: £175
• Lloyds: £200
• First Direct: £175

These offers usually come with conditions. You may need to pay in a certain amount, set up direct debits, or log in to online or mobile banking.

Some banks also split the payment, paying part of the incentive soon after you switch and the rest at a later date.

•  Find out more: best bank account switching deals October 2025

How to switch your bank account

CASS has made switching banks easier than ever, and you can do it in just a few simple steps. 

1. Apply for a new account on the provider's website. Once you're approved, tell it you want to switch over your old account using CASS. Your new bank will take it from there, and you'll just need to agree to its terms and conditions.
2. Your new bank or building society will then start moving everything across, including your balance, regular payments – such as your pension or salary – direct debits and standing orders.
3. Continue using your old account as normal until your switch date. By day seven, your new account takes over and your old one is closed automatically.

During the process, your new bank will update you on how it’s progressing. CASS also covers you for any charges or missed interest you face if anything goes wrong. 

• Find out more: how to switch your bank account

Make your money work harder

Get the best deals, avoid scams, and grow your savings with expert guidance. £4.99 a month or £49 a year, cancel any time.

Join Which? Money

5 things to check before switching

Before making the switch, it’s worth doing your research to make sure the new bank and account are the right fit for you.  

Check that you meet the eligibility rules 

Many people switch for a cash incentive, but if that’s the only reason, it may not pay off in the long run. Switching deals usually have eligibility criteria. 

These often include switching at least two active direct debits from your old account, paying in a minimum amount (either once or regularly), and keeping the account open for a set period.

Most incentives aren't available to existing or recent customers. For example, to qualify for First Direct’s £175, you must not have been a First Direct or HSBC customer since 1 January 2018.

• Find out more: best high-interest bank accounts 2025

Weigh up the perks against the costs

Think about whether the benefits of a new account match your needs. A high-interest saver or cashback rewards are only useful if you’ll actually use them.

Premium accounts can include extras such as breakdown cover, ID fraud protection, or travel, gadget and phone insurance. If you already pay for these services, switching to a packaged account could save you money – but they usually come with a monthly fee. 

Compare the fee with the value of the perks to see if you’ll come out ahead.

• Find out more: best packaged bank accounts 2025

Review your overdraft options

If you use an overdraft, check whether the new bank can offer one on competitive terms.

Look for interest-free buffers - even if small - to cover short-term gaps. If you’re likely to go over, compare rates for authorised and unauthorised overdrafts – charges vary significantly between banks.

• Find out more: best bank accounts for an overdraft 2025

Consider branch access 

More than 6,443 branches have closed over the past decade, with a further 431 set to shut in 2025.

If you rely on in-person banking, make sure your new provider has a local branch. Nationwide has pledged to keep branches open until at least 2028, HSBC until 2026, and Barclays for the next two years.

• Find out more: bank branch closures: is your local bank closing?

Check the terms of any linked savings accounts

If you hold a fixed-term regular saver, check the terms before closing your current account.

Many regular saver accounts are linked to a specific current account and may close automatically if you switch. Others will cut your interest rate if you close the account before the term ends, which could cost you money.

If your saver is close to maturing, it may make sense to wait before switching. But if you’ve only recently opened it, moving now could still work – particularly if the new bank offers a similar or better rate.

• Find out more: best savings rates 2025

Compare savings accounts

Find the right savings account for you using the service provided by Experian Ltd

Compare and choose