TSB is intensifying a competition among banks by introducing a cash incentive of up to £200 for customers switching their current accounts. The high street bank’s move represents a positive development in the ongoing rivalry between financial institutions.
According to TSB, individuals opening a TSB Spend or Save, or Spend & Save Plus current account can qualify for the cash reward by meeting specific criteria. To receive an initial £150 bonus, customers must complete the account switch process, log into the TSB mobile banking app, deposit £1,000 into the account by March 20, 2026, and make at least five debit card payments by the same date, with the bonus payment scheduled for April 7.
An additional £50 can be earned by depositing another £1,000 into the TSB account in April, with the extra cash set to be paid by May 31. Moreover, customers can enjoy £5 cashback per month for the first six months upon opening a new Spend & Save current account, or £5 cashback monthly for a Spend & Save Plus account, which incurs a £3 monthly fee. To be eligible for the cashback, customers need to make a minimum of 20 debit card payments each month to any recipient.
To facilitate the account switch, customers must utilize the Current Account Switch Service (CASS). Unlike some banks that exclude existing customers, TSB allows current account holders who completed a full switch using the CASS service to qualify for the offer.
Carys Barnes, TSB’s head of current accounts and savings, highlighted the appeal of the bank’s current account offerings, stating that the up to £200 switching incentive provides customers with compelling reasons to bank with TSB. Previously, TSB offered a £150 switching incentive, but its new offer falls short of the current leading bonus of £250 offered by other banks like Club Lloyds.
In the competitive landscape, Santander’s Edge account offers £200 and 1% cashback on select household bills, while First Direct’s 1st Account includes a £175 bonus and a lucrative 7% interest on its Regular Saver account.
Alastair Douglas, chief executive of TotallyMoney, emphasized the financial benefits of switching accounts, noting that various banks including TSB, First Direct, HSBC, Lloyds, Nationwide, and Santander provide incentives for account transfers, with the process made seamless and efficient through the Current Account Switch Guarantee.