According to research from M&S Bank, one-in-five current account holders are ready to make the switch to a new account – and it's the launch of the Current Account Switch Service that's fuelling their decision.
The M&S Ready to Switch Index monitors consumer attitudes towards banking and their intention to switch current accounts, with the latest revealing that 20% of consumers are thinking about switching.
Whilst this is a drop from July's figure of 26% the research also showed that the number of people who've already switched has actually increased, indicating that a lot of consumers were waiting for the launch of the new service.
In fact, the Index found that of the people who have already switched or are considering it, the launch had actually influenced the decision in 31% of cases.
It also gave clear insight into areas banks themselves need to focus on if they want to attract and retain customers in light of the new service. Thirty percent of those that switched in the last year say they did so because of uncompetitive benefits whilst 12% were unhappy with the level of customer service received, meaning banks need to start working harder if they want to remain competitive.
Crawford Prentice, deputy CEO of M&S Bank, commented on the findings: "We are one month into the Current Account Switch Service and it's encouraging to see that the initiative has influenced the decision to move for 31% of switchers.
"It's important for consumers to do their research and find the account that fits into their lifestyle; whether that's banking at a time that suits them, an interest-free overdraft, or perks and rewards.
"We'd encourage consumers to look at their existing current account and review whether it's really delivering what they need."
With it now possible to switch current accounts in 7 days or less and people starting to think about finances for the next calendar year, experts anticipate a further increase in switching up ahead.
Find out more about the Current Account Switch Service
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