Best Business

Santander Business Banking

About Santander

Editorial Team

Santander are a UK bank that are owned by the Spanish Santander Group, which formed in 1857. There were many mergers that took place from the time that Santander first entered the UK, in 1988, to when they finalised their rebranding at the end of 2010. Fast-forwarding to today, they are one of the largest financial services companies with over 24 million customers and 500 plus UK branches. Santander also offer private banking with Cater Allen Private Bank.

See our full Santander business bank account review of features, fees and how they compare against other online and high street bank accounts.

Santander pros & cons

Pros of Santander

  • A wide variety of accounts to choose from
  • Offers a wide range of products and features
  • Overdrafts available on request

Cons of Santander

  • Not rated highly on Trustpilot
  • High monthly fees

Santander current accounts

Santander offer businesses with current and savings accounts, these are some of the main features of Santander business banking:

  • 1|2|3 Business World - opening a 1|2|3 current or savings account gives you access to this. You'll get preferential interest rates and other member-offers
  • Startup tools & resources - access Breakthrough, Santander's hub for resources and guides to help with starting your business and beyond
  • Bank your way - you can access your account online or on mobile, in-branch, at ATMs or even at the Post Office

Santander offer two current accounts to registered businesses with simple banking needs.

They've won Moneyfacts' Best Business Current Account Provider 19 years in a row. These are the accounts:

  • Business current account - this is their standard bank account which costs £7.50 per month, though it is free for 18 months for new businesses.
  • 1|2|3 business current account - Santander's award winning account that offers cashback (up to £300 per year) and interest (on positive balances) for £12.50 each month (this is reduced for new and switching customers).

Santander's standard current account provides 18 months free banking for startups, whereas the 1|2|3 account offers a reduced fee of £5 for 18 months for startups and for a year for switching businesses.

The standard fees outside any promotional periods for Santander accounts are:

Account nameBusiness Current Account1|2|3 Business Current Account
Application feeFreeFree
Monthly fee£7.50£12.50
Bank transfersFreeFree
Card purchasesFreeFree
ATM withdrawalsFree (limited to £500 per day)Free (limited to £500 per day)
Cash depositsFree (up to £1,000 per month)Free (up to £1,000 per month)
Cheque depositsFreeFree
Interest (AER)0%0.10%


To be eligible for a Santander account you must:

  • Be 18 or over and a UK resident
  • Have up to two directors, owners (shareholders) or partners
  • Have a UK registered business
  • Be sole trader, partnership, limited liability partnership, or a private limited company
  • Use the account for business purposes

When applying for a 1|2|3 business current or savings account, you must not already have a 1|2|3 account, otherwise your application won't be successful.

Opening an account

Here's how to open a Santander business account:

  1. To open online download Santander's app from the App Store or Google Play
  2. To open in store find your nearest Santander and head on in
  3. Complete their application - Santander will confirm your eligibility
  4. Verify your ID - with photo ID such as a passport or photocard driving licence
  5. Once approved you can start banking


Santander offer businesses overdrafts starting at a £500 limit, up to £25,000.

The typical interest rate is 10% with arrangement fees of 1% the overdraft limit, where £50 is the minimum you pay.

Santander savings accounts

Santander offers multiple savings accounts, including easy access and fixed deposit accounts:

  • Business Everyday Saver - an instant access account that can be opened with £1 and allows you to add or remove money whenever you want to. You'll receive a 0.55% AER interest rate.
  • Business Reward Saver - an easy access account that requires a £1 minimum deposit, with no balance limits. If you make a withdrawal you'll get a rate of 0.40%, if no withdrawals are made then the interest rate offered is 0.80% AER.
  • Fixed Rate Business Bond - a one year fixed term account that can be opened with £5,000 and allows a maximum savings balance of £5 million. The interest rate is 1.00 AER.

Here's a summary of Santander's business savings accounts:

Savings nameBusiness Everyday SaverBusiness Reward SaverFixed Rate Business Bond
Account typeInstant accessInstant accessFixed term
Interest rate (AER)0.55%0.40% - 0.80%1.00%
Minimum deposit£1£1£5,000
Maximum balanceNo limitNo limit£5,000,000

Additional business services

Santander provide many business solutions for any situation, including giving businesses the option to accept card payments with their Elavon card machine partnership and free bank accounts for charities, clubs and societies.

Santander reviews

Santander scores a low 1.3 stars on Trustpilot from over 5,500 reviews, with 86% giving them 1 star.

The Santander business banking apps don't perform much better with only 1.2 out of 5 on the App Store and 1.7 stars on Google Play.

Information correct as of 7th February 2023.