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Lloyds Bank business account: at a glance
Lloyds Bank is a UK bank with a high street presence across England and Wales. Its business accounts are available to small and large organisations, as well as to start ups and charities.
Lloyds Bank currently offers a variety of tariffs to suit businesses at different stages of growth. Additionally, fee-free banking for the first 12 months may be available for new business customers with an annual turnover under £3 million.
Find out more about Lloyds Bank business accounts, including the features that may suit your business.
Promotion
Lloyds Bank Small Businesses and Start-ups Account
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Monthly Fee£7
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Card Purchase FeesFree
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Bank Transfer FeesFree
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Offer12 months’ free day-to-day business banking for new businessesFree day-to-day Business Banking includes electronic payments, cheques, cash, deposits and withdrawals. You must operate your account in credit or within agreed limits. All lending is subject to status. Security may be required.
Learn more about how we bring you our review.
Lloyds business account pros & cons
Pros
- You can access the account online, via the mobile app, over the phone and in a branch.
- Deposits may be protected by the Financial Services Compensation Scheme (FSCS).
- You can pay in cash and cheques at a branch or at the Post Office.
- Lloyds has branches in England and Wales for in-branch support.
Cons
- This account has a monthly fee (after an introductory period, if applicable).
- There are no Lloyds branches in Scotland or Northern Ireland.
- It can take up to six weeks to open a business account.
These pros and cons are based on a survey of UK business owners on what they found important when selecting a range of business products, conducted by NerdWallet in December 2022.
Lloyds Bank business account key features
- Lloyds Bank is a UK bank regulated by the Financial Conduct Authority (FCA), and deposits in its bank accounts may be protected by the Financial Services Compensation Scheme (FSCS)
- Accounts have a monthly fee, and transaction fees for certain actions may apply
- Credit facilities, such as business loans and business overdrafts, may be available from Lloyds Bank
Lloyds Bank business account full review
Lloyds Bank is a UK banking provider that has been around for over 250 years. It serves both personal and business customers face to face at its branches across England and Wales, as well as digitally and over the phone.
There are Lloyds Bank business accounts designed for small businesses, start ups and larger businesses, plus client accounts and accounts for charities.
We’ve gathered everything you might want to know about Lloyds Bank’s business accounts below.
| Monthly fee | £7 (small businesses and start ups; after introductory, fee-free period, if applicable) £15 (Business Extra tariff) £20 (Electronic Business tariff) |
| Transaction fees | Yes (for some transactions) |
| Account management | Online Via mobile app Over the phone At a branch |
| FSCS protection | Yes |
| Potential for same day set-up | No |
| Cash deposits | Yes (at a branch or Post Office) |
| Cheque deposits | Yes (at a branch or Post Office) |
| Access to other banking services, such as business loans and credit cards | Yes |
| Integration with accounting software and tools | Yes |
| International payments | Yes |
| Customer service | Over the phone At a branch |
| Multiple user access | Yes |
| Trustpilot rating | 1.6 out of 5 (as of 6 March 2023) |
Lloyds Bank business account features
The following sections provide some important information about the key features of Lloyds Bank business accounts.
Business account fees
The standout criteria for business owners when looking for a business account is the monthly fee, according to half of the business owners NerdWallet surveyed, who chose it as one of their top three criteria.
The price of a Lloyds business account depends on which account your business is eligible for:
- Small businesses and start ups: This account, which also covers sole traders, is for businesses with an estimated turnover of less than £3 million a year.
- Larger businesses: This account is for businesses with an estimated annual turnover between £3 million and £25 million.
There are also accounts for schools and community groups, as well as client accounts for professions such as solicitors and accountants.
Below, we take a look at the cost of Lloyds Bank accounts for small businesses, start-ups and larger businesses.
Monthly fee
Lloyds Bank accounts for small businesses, start ups and larger businesses all have a monthly fee.
The small business and start ups account costs £7 per month. Currently, this may be waived for the first 12 months if you’re a new Lloyds Bank business customer.
The larger businesses account monthly fee varies depending on the tariff you choose. There is the Electronic Business Tariff, which costs £20 per month for businesses regularly making electronic transactions, and the Business Extra Tariff, which costs £15 per month for businesses who only make a small number of transactions a month.
Day-to-day business banking transaction charges
In addition to the monthly fee, there are transaction charges for certain everyday banking activities with a Lloyds Bank business account.
These fees can vary depending on the size of your business and the tariff you’re on.
| Transaction | Business account for start ups and small businesses | Business Extra Tariff (larger businesses) | Electronic Business Tariff (larger businesses) |
| Standing orders and direct debits | Free | 37p | Free |
| Debit card payments | Free | 37p | Free |
| ATM cash withdrawals in the UK | Free | 37p (Free at a Lloyds Banking Group ATM) | Free |
| Debits and credits via internet banking | Free | 37p | Free |
| Debits and credits over the phone | Free | 37p | Free |
| Faster Payments | Free | 37p | Free |
| Automated credits | Free | 37p | Free |
| Bulk payments via internet banking | Free | 37p | Free |
| Cash payments in | £1 per £100 (first £1,500 each month) 90p per £100 (after first £1,500 each month) | 90p per £100 (at a branch counter) 75p per £100 (at a deposit machine in branch) | £1.40 per £100 (at a branch counter) £1 per £100 (at a deposit machine in branch) |
| Cash payments out | £1 per £100 (first £1,500 each month) 90p per £100 (after first £1,500 each month) | 90p per £100 (at a branch counter) | £1.40 per £100 (at a branch counter) |
| Cheque payments in | 85p each | 75p (at a branch counter) 25p (via mobile app, digitally or deposit machine in branch) | 90p (at a branch counter) 30p (via mobile app, digitally or deposit machine in branch) |
| Credit in | 85p | 85p (at a branch counter) 70p (via mobile app or deposit machine in branch) | 85p (at a branch counter) 80p (via mobile app or deposit machine in branch) |
Other fees
There may be additional fees to consider, such as for international transactions, for example. These fees apply across all tariffs, and other charges may apply depending on the nature of the transaction. More details can be found on the Lloyds Bank website, or by contacting the bank directly.
| International payment via internet banking | £15 |
| Non-urgent payment in euros, in a branch (SEPA)* | £19 |
| SEPA* payment via internet banking | £5 |
| SEPA* direct debit | Free |
| International electronic payments in (up to £100) | £2 |
| International electronic payments in (over £100) | £7 |
* The Single European Payment Area (SEPA) consists of the EU Member States, plus Iceland, Norway, Liechtenstein, Switzerland, Monaco and San Marino. You can find more information on the Lloyds Bank website.
If your business trades abroad frequently, you may be able to open a foreign currency account with Lloyds separate from your standard business account. You can contact Lloyds Bank for more information.
Easy account access
Business owners want to be able to access their account easily, according to NerdWallet’s survey; easy account access was ranked second most important out of 10 criteria.
You can access a Lloyds Bank business account online through internet banking, via the Lloyds Bank business banking mobile app, over the phone and in a branch.
There are Lloyds Bank branches across England and Wales where you can manage your account. While there are no Lloyds Bank branches in Scotland, you may be able to open an account with the Bank of Scotland (which is part of the Lloyds Banking Group) instead. Additionally, Lloyds Bank customers in Scotland can complete basic banking tasks at a Bank of Scotland branch, though for more complex requests you will need to go to a Lloyds branch. There are no Lloyds branches in Northern Ireland.
Account set-up
A quarter of business owners feel that the ability to set up an account fast is an important criteria for a business account, according to our survey.
According to Lloyds, an application can be completed in 20 minutes. However, it can then take up to six weeks to process your application and open your business account. This may not appeal to business owners looking to get set up immediately.
Additionally, if you currently have a business account with another provider, it is possible to switch to Lloyds Bank via the Current Account Switch Service as long as your bank has signed up to the scheme. You can switch all payments and your bank balance to another provider in seven working days, provided you meet the service’s eligibility criteria.
FSCS protection
Deposit protection through the Financial Services Compensation Scheme (FSCS) is the third most important criteria for business owners looking for a business account, according to our NerdWallet survey.
Lloyds Bank is a UK-authorised bank, so your business’s deposits held with this provider may be protected up to £85,000. If the bank were to fail, you would be automatically compensated up to this limit.
It’s important to remember that all accounts you hold with a bank share the same limit. If you are a sole trader with both a personal and business account with Lloyds, the £85,000 limit would apply across both accounts. However, if you run a limited company, it’s seen as a separate legal entity to you. Your personal and business account with Lloyds would therefore each have an £85,000 limit.
It’s also worth noting that this limit applies across all accounts held with providers that share a banking licence. Lloyds Bank, Mayfair Private Banking, Lloyds Bank Private Banking and Scottish Widows Bank all share a licence, so would be covered jointly under one £85,000 limit.
Although both banks are part of the Lloyds Banking Group, Lloyds Bank and the Bank of Scotland do not share a banking licence and therefore have separate FSCS limits.
Mobile phone app
The ability to manage a business account via a mobile app is key for business owners according to our survey; access to a mobile app ranked fourth most important out of 10 criteria.
The Lloyds Bank business banking app is available on iOS and Android. You can use it for transactions such as making payments, paying in cheques and transferring money between your accounts.
Customer service
You can contact Lloyds Bank’s customer service team in the following ways:
- by telephone on 0345 072 5555 from Monday to Friday, 7am to 8pm and Saturday, 9am-2pm (excluding bank holidays)
- in a branch across England and Wales. In Scotland, there are Bank of Scotland branches instead
- via mobile app: it may be possible to contact support through the Lloyds business banking app
- using the automated virtual assistant on the Lloyds Bank website
Lloyds customer service does not operate 24 hours a day, seven days a week. However, our survey found that this is not a major concern for business owners looking for a business account. 24/7 customer service ranked joint ninth alongside international banking facilities.
Customer reviews
Lloyds Bank has received mainly negative reviews on Trustpilot. It’s worth noting that these may come from both personal and business customers.
The Lloyds business banking mobile app fares better among Android and Apple users.
- Trustpilot: 1.6 out of 5, based on over 3,400 reviews
- Apple Store: 4.1 out of 5, based on over 3,000 reviews
- Google Play: 3.7 out of 5, based on over 6,200 reviews
This information is correct as of 6 March 2023.
Lloyds business account eligibility
The eligibility criteria for a Lloyds business account varies depending on which account you want to apply for.
For a small business or start up account, you must:
- be at least 18 years old
- be a sole trader, partner in a business partnership, or director of a limited company
- have an annual turnover under £3 million
- not already have a Lloyds Bank business account
For a bank account for larger businesses, you must:
- have a turnover of between £3 million and £25 million
- require the account solely for business use
- be registered to trade in the UK
Larger businesses can be new or existing Lloyds Bank business customers.
How to choose a Lloyds business account
There are a number of questions that you may want to consider when choosing whether to open a Lloyds Bank business account or when comparing other providers:
- Do you want an account with a monthly fee or transaction fees?
- How would you prefer to manage your account (for example, online, via an app, in branch)?
- Do you want to bank digitally or would you like the option of face-to-face banking in a branch?
- Are you willing for you and your business to undergo a credit check as part of your business banking application?
- Do you want your deposits to be protected by the Financial Services Compensation Scheme (FSCS)?
How to apply for a Lloyds business account
To open a Lloyds business account, you’ll need to follow these steps:
- Apply online.
- Submit proof of ID and address.
- Wait for approval.
Apply online
As well as meeting the eligibility criteria, you will likely need to provide Lloyds with the following information, including:
- proof of identity
- full business and personal addresses
- three years’ address history for everyone involved with the account
- business and personal contact details, including mobile phone numbers and email addresses
- Companies House registration number
- your estimated annual turnover
- your Lloyds account number (if you already bank with them)
- existing bank details (if you’re looking to switch accounts)
- a copy of your signature
Once you have everything to hand, you can apply online or in a branch, simply following each step of the process.
Submit proof of your identity and address
Alongside your application, you will need to submit proof of your identity and residential address.
To prove your identity, you may need to provide one of the following:
- UK or foreign passport
- national identity photocard (European Economic Area [EEA] or equivalent)
- full UK paper driving licence
- full UK, EU or EEA photocard driving licence
To prove your residential address, you can use a document such as:
- full UK paper driving licence
- bank statement (dated within the last three months)
- UK mortgage statement (dated within the last 12 months)
Wait for approval
After you have submitted your application, it will be reviewed and you will be contacted if the bank needs any other documents or information from you.
It can take up to six weeks from submitting your application to opening your business account; on average it takes six days, if no extra information is needed.
Review methodology
At NerdWallet Ltd UK we base our reviews on the results of surveys we conduct to understand what key product features are important to those who use them, and align them to the product we review.
Product details reflect the information that was available at that time but may have changed since. We strive to give you a review on as many products as possible but it is likely there are others available that we have not reviewed. The review is our opinion, but it does not constitute advice, recommendation or suitability of your financial circumstances.
You can view our review methodology here.
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