Barclays vs Lloyds for business banking

Updated on 7 August 2023

Choosing the right bank for your business can have a significant impact on its operations and growth. It is therefore crucial to make an informed decision that aligns with your company’s needs. In the UK, two leading banks stand out for business banking: Barclays vs Lloyds.

Featured pro tools

Quick, easy, no commitment!

This article compares these two institutions, looking at their unique features, pros and cons, fees and charges, and more to help you make the right choice.

Video: Choosing a business bank account

Barclays vs Lloyds

Online bankingYesYes
Mobile bankingYesYes
Business debit cardYesYes
Interest on business accountYesYes
Overdraft facilityYesYes
Contactless paymentsYesYes
Currency accountsYesYes
Free banking periodYesYes
24/7 customer supportYesYes
Business loansYesYes
Business credit cardYesYes
Business savings accountYesYes
Invoice financeYesYes
International paymentsYesYes
Cash management servicesYesYes
Insurance servicesYesYes
Pensions and investmentsYesYes
Financial and business adviceYesYes
Business mortgageYesYes
Trade financeYesYes
Merchant servicesYesYes
Barclays vs Lloyds

Revolut Business
✓ Business Current Account
✓ Award-Winning Mobile App
✓ Quick & Easy Application Process
Pricing Trial period Contact

Tide Business Bank Accounts
✓ Free, Plus, or Pro Account
✓ iOS & Android Mobile App
✓ Upload & Auto-Match Receipts
Pricing Trial period Contact

Card One Money
✓ No Credit Checks
✓ Simple Fees
✓ Up To 3.5% Cashback
Pricing Trial period Contact

ANNA Money
✓ Apply In 10 Minutes
✓ Bookkeeping & Payroll Tools
✓ User-Friendly Mobile App
Pricing Trial period Contact

HSBC Business Banking
✓ Business Current Account
✓ In-Branch, Online & App Banking
✓ FSCS Protected
Pricing Trial period Contact

Metro Business Banking
✓ Business Current Account
✓ High Street Presence
✓ FSCS Protected
Pricing Trial period Contact

Mettle Business Banking
✓ Business Bank Account
✓ Online & App
✓ Quick & Easy Application Process
Pricing Trial period Contact

Monzo Business Banking
✓ Business Current Account
✓ Dedicated mobile app experience
✓ FSCS Protected
Pricing Trial period Contact

Virgin Money
✓ Business M Account
✓ In-Store, Online & App Banking
✓ Insights & Forecasting Platform
Pricing Trial period Contact


Barclays Bank is a long-established institution with a history dating back to 1690. It is renowned for its commitment to innovative banking solutions that are tailored to meet the needs of businesses across all sectors.

Moorepay logo Cutting edge payroll software
  • Powerful and easy to use
  • HMRC & RTI compliant
  • Used by payroll pros
Pipedrive logo The CRM platform to grow your business
  • Great for entrepreneurs
  • Powerful data analytics
  • Manage sales and data
Wix logo Powerful web builder and advanced business tools
  • Great for startups
  • Powerful web page builder
  • E-commerce available
Planable logo Supercharged content planning
  • Great for marketing
  • Better than lists or sheets
  • Manage social media
Webador logo Create a new website in 10 minutes. Easy.
  • Launch your website fast
  • Powerful data intuitive
  • No coding skills needed

Pros and cons


  • Comprehensive digital banking: Barclays offers robust online and mobile banking platforms that are feature-rich, user-friendly, and secure.
  • Innovative solutions: Barclays regularly introduces new technology-based solutions for business customers, such as its SmartBusiness Dashboard and Barclays Pingit.
  • Diverse account types: Businesses can choose from a range of accounts to suit their specific needs.
  • Global presence: Barclays is ideal for businesses with international operations, thanks to its extensive global network.


  • Limited physical presence: Although Barclays has an extensive network, its physical branch count has decreased in recent years.
  • Mixed customer service reviews: While many praise Barclays for its service, others have had less positive experiences.
  • Potentially high fees: After the initial free banking period, some businesses may find the fees relatively high.

Table of fees and charges

Please note that fees may vary based on business size, transaction volumes, and specific account types.

ServicesBarclays Fees
Monthly Account Fee£6.00
Electronic Payments (in/out)£0.35
Cash Payments (in/out)0.60% of value
Cheque Payments (in/out)£0.65
International Payments£15 – £40
Barclays fees and charges

Unique and standout features

Barclays stands out in its commitment to digital innovation. Its SmartBusiness Dashboard, for instance, allows businesses to monitor their performance in real-time, integrating data from various sources, including bank accounts and social media.

The Barclays Pingit app provides a quick and easy way to make and receive payments using a mobile phone. Barclays also prioritises sustainability, offering ‘Green Loans’ to businesses investing in eco-friendly projects.


Lloyds Bank, founded in 1765, is another titan of the UK banking sector. Known for its wide range of products and services, Lloyds is a popular choice for businesses of all sizes.

Pros and cons


  • Wide range of services: Lloyds offers a comprehensive suite of banking services, including specialised sector expertise for industries such as agriculture and healthcare.
  • Strong customer service: Lloyds is generally praised for its customer service, both online and offline.
  • Free business toolbox: Lloyds provides a range of free resources to support businesses, including free accounting software.


  • Less innovative: Lloyds may not be the best choice for those looking for cutting-edge digital services.
  • Limited international presence: While Lloyds is excellent for domestic businesses, those with significant international operations might prefer a bank with a wider global footprint.

Table of fees and charges

Please note that fees may vary based on business size, transaction volumes, and specific account types.

ServicesLloyds Fees
Monthly Account Fee£7.00
Electronic Payments (in/out)£0.30
Cash Payments (in/out)0.50% of value
Cheque Payments (in/out)£0.65
International Payments£9.50 – £30
Lloyds Bank fees and charges

Unique and standout features

One of the standout features of Lloyds is the extensive support it provides to businesses. It offers a wealth of resources, from online guides to networking events and mentoring schemes.

The free Business ToolBox that Lloyds offers is a valuable addition for new businesses, including a range of useful tools like website building and online accounting software.

Conclusion – Barclays vs Lloyds

Both Barclays and Lloyds offer extensive services for business banking.

Your choice between the two depends largely on your specific needs.

If you’re looking for innovative digital solutions and have a significant international footprint, Barclays might be more suitable.

If you value high-quality customer service and a broad range of free resources, Lloyds could be the better choice.


Which bank offers the longest free banking period?

Both banks offer a free banking period for new businesses, but the duration varies. It’s best to contact the banks directly for current offers.

Which bank is more suited to small businesses?

Both banks offer tailored solutions for small businesses. The choice would depend on the specific needs of the business.

Can I switch my business account from another bank to Barclays or Lloyds?

Yes, both Barclays and Lloyds offer a switching service which makes the process simpler.

Which bank is better for international business?

Barclays, with its wider global footprint, may be more suitable for businesses with substantial international operations.

Do both banks offer loans and other forms of business financing?

Yes, both Barclays and Lloyds offer a range of financing options, including loans, credit cards, and asset financing.

Do these banks offer accounts for specific sectors?

Yes, both banks offer sector-specific services. For example, Lloyds has expertise in agriculture and healthcare, while Barclays offers tailored services for sectors like retail and manufacturing.

Reviewed by , Managing Director

Compare ⓘ