Millions of Britons could be missing out on hundreds of pounds in rewards and perks due to longstanding bank loyalty, according to new research from consumer champion Which?.
A comprehensive survey of over 6,600 current account holders has revealed that nearly four in ten have remained with the same provider for more than two decades. However, this fidelity often comes at a financial cost, with many customers overlooking better deals elsewhere.
The Cost of Loyalty: Why Switching Banks Pays
The study, conducted by Deltapoll in August 2025, highlights a significant opportunity for consumers to improve their financial health simply by reassessing their banking arrangements. With features like fee-free spending abroad, instant spending notifications, cashback offers, and switching bonuses becoming increasingly common, sticking with an outdated account can mean leaving real money on the table.
Sam Richardson, Deputy Editor of Which? Money, stated: "Banks are not all the same and our analysis proves this. Perks like fee-free spending abroad and instant spending notifications are becoming normalised, while cashback, loyalty payments, and switching bonuses can earn you hundreds of pounds."
Which? Recommended Providers for 2025
Which? examined a wide range of factors including fees, overdraft charges, customer perks, and overall satisfaction to identify the market leaders. The top-performing institutions were awarded the prestigious Which? Recommended Provider (WRP) badge.
This year, six providers earned this distinction:
- Chase
- Danske Bank
- First Direct
- Monzo
- Nationwide Building Society
- Starling Bank
Chase and Danske Bank are new additions to the WRP list for 2025, marking their first-time achievement of this status. In contrast, First Direct maintains its position as the longest-running award holder, having retained its recommended status for over a decade.
Which? also noted that Allied Irish Bank and Revolut came very close to securing WRP recognition this year, narrowly missing out on the award.
What This Means for Your Banking Choices
The findings underscore that in today's competitive banking landscape, consumers have more choice than ever before. Whether you prioritise digital innovation, financial incentives, or traditional branch access, there is likely an account better suited to your needs.
Nationwide Building Society received particular attention for its commitment to maintaining physical branches. Tom Riley, Director of Group Retail Products at Nationwide, confirmed the society's "branch promise" has been extended, ensuring all 696 Nationwide and Virgin Money branches will remain open until at least 2030.
This provides significant value for customers who still rely on in-person banking services, offering a compelling alternative to digital-only providers.
For those considering a switch, the research confirms that a little investigation can transform passive bank loyalty into active financial benefit. With clear winners identified across different banking styles, consumers are now better equipped to find a current account that genuinely works for them and their money.
