Member Article

UK still trusts banks

Fewer than one in 10 people considering moving their current account would opt for a supermarket bank or online provider, a survey showed today.

Around 21% of people are thinking of switching banks, while 10% have already changed provider as a result of the financial crisis, according to PricewaterhouseCoopers.

But only 9% of those planning to switch are considering moving to a new entrant, such as a supermarket or online bank.

Instead, 36% said they would move their current account to one of the high street banks that had not received Government help, while 19% would opt for a building society.

Steve Davies, retail banking partner at PricewaterhouseCoopers, said: “The financial crisis has so far translated into surprisingly little ‘halo effect’ for new banking entrants such as supermarkets and online banking providers.

“This is likely reflective of both the lack of known track record in personal banking on the part of new entrants and the hassle involved in moving from one bank to another.

“It could also be a result of the fewer non-savings based products currently offered by new market entrants or the level of access to facilities - particularly for newer direct and online banks.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .