British banks are escalating a "switching war" for current account customers, offering cash bonuses of up to £500 or freebies to entice people to move their accounts. This matters for consumers because, amid ongoing cost of living pressures, these incentives can provide a genuine financial boost, but many come with significant conditions attached, meaning shoppers need to weigh the fine print rather than simply chasing the headline figure.

Santander offers £240 for switching to its fee-free Everyday account, requiring a £1,500 deposit, two direct debits and a funded Regular Saver, while HSBC offers £220 and its First Direct brand £175, both with similar direct debit and spending conditions. Nationwide offers £175 and the Co-operative Bank £200 (ending 7 September), whereas NatWest and HSBC's Premier accounts both offer £500 to high earners meeting strict income, savings or mortgage thresholds. Starling has instead opted to offer a £105 electric toothbrush to new personal account customers who switch before 11 October. Most deals require using the industry's Current Account Switch Service (Cass), and experts note there is no one-size-fits-all account, urging customers not to feel rushed and to check ongoing value, particularly with fee-charging packaged accounts.