Depositor Protection Scheme – Business and Charity | moneyfacts.co.uk

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Derin Clark

Derin Clark

Online Reporter
Published: 06/02/2019

At a glance

  • To ensure that your business savings are protected it is important that your bank or building society is covered by a depositor protection scheme. 
  • A depositor protection scheme covers your money in the event the bank or building society went bust and this applies to offshore banks, as well as UK-based ones. 
  • Most businesses’ deposits are covered but there are exclusions so you should check with your chosen bank before you apply.

Whether you are a business leader, self-employed or a charity, you still need to know that your business' cash savings are protected. All UK banks and building societies are part of the UK Financial Services Compensation Scheme; a depositor protection scheme, which may safeguard the money in your business bank account (up to a certain amount) against their financial troubles. Generally the deposits of most non-financial businesses will be covered, but you should always check with your bank first.

As the Brexit transition period is over, banks must now operate in the UK as a UK-authorised institution, or under the UK regulators’ Temporary Permissions Regime. This is an interim stage where the institution intends to become authorised in the UK but has yet to be granted permission by the UK regulators. Their UK customers’ deposits are protected by the FSCS during this period so have equivalent protection to authorised institutions in the UK. 

This list will provide you with the information of where your bank or building society is licensed and what depositor protection guarantees you’ll get if they go bust.

This guide details the depositor protection rules for businesses in accounts held in the UK and crown dependencies.

Depositor protection schemes for businesses and charities: how much is covered?

The depositor compensation schemes for businesses and charities have different rules and limits in differing areas. You can find the relevant depositor compensation schemes by jurisdiction below.

Area: United Kingdom

The Financial Services Compensation Scheme (FSCS) protects cash deposits of eligible businesses up to £85,000. Some banks and building societies share their banking licence and protection limit across multiple brands and subsidiaries. When this is the case the £85,000 limit is shared across all these organisations. To protect all your money, you should ensure that amounts over the limit are deposited with a provider with a separate banking licence. If your business or charity has borrowed money from the bank or building society the compensation you receive cannot be used to reduce or repay your debt.

Deposits made by the following types of businesses or organisations are excluded from coverage of the scheme:
• credit institution,
• financial institution,
• investment firm,
• insurance / reinsurance undertaking,
• collective investment undertaking,
• pension or retirement fund,
• public authority, other than a small local authority.
Also if your business has not been identified as required by the money laundering regulations, or the funds are relevant to a money laundering conviction, you will also not be covered.

 

Area: European Economic Area

Previously, banks regulated in other European Economic Area (EEA) member states could operate in the UK without UK regulation Under a process called 'passporting' which meant they were regulated by the home country's regulator and covered by its compensation scheme. The passporting scheme ended on 31 December 2020 when all banks operating in the UK must be authorised by the UK authorities. A small number of banks are operating in the UK under a temporary UK permission described above.

Any money your business previously deposited with an EU bank will be covered by that country’s deposit protection scheme if they have chosen not to become a UK-authorised bank.

Area: Gibraltar

The Gibraltar Deposit Guarantee Scheme protects the money of small businesses, registered charities and partnerships up to a maximum of €100,000 or the equivalent in Sterling. Some banks and building societies share their banking licence and protection limit across multiple brands and subsidiaries, which means that the total €100,000 limit is shared across all these organisations. To ensure all your money is protected it is advisable to deposit amounts over the limit with a provider that has a separate banking licence. If your business or charity has borrowed money from the bank or building society the compensation you receive can be used to reduce or repay your debt and any funds remaining can then be paid to you.

Area: Guernsey

The Guernsey Depositors’ Compensation Scheme protects up to £50,000 for registered charities, however businesses and partnerships are not protected. Some banks and building societies share their banking licence and protection limit across multiple brands and subsidiaries, which means that the total £50,000 limit is shared across all these organisations. If you are a registered charity to ensure all your money is protected it is advisable to deposit amounts over the limit with a provider that has a separate banking licence. If your charity has borrowed money from the bank or building society the compensation you receive can be used to reduce or repay your debt and any funds remaining can then be paid to you.

Area: Isle of Man

The Isle of Man Depositors’ Protection Scheme protects the money of businesses, registered charities and partnerships up to a limit of £20,000. Some banks and building societies share their banking licence and protection limit across multiple brands and subsidiaries, which means that the total £20,000 limit is shared across all these organisations. To ensure that all your money is protected it is advisable to deposit amounts over the limit with a provider that has a separate banking licence. If your business or charity has borrowed money from the bank or building society the compensation you receive can be used to reduce or repay your debt and any funds remaining can then be paid to your business or charity.

Area: Jersey

The Jersey Depositors’ Compensation Scheme protects the money of registered charities to a limit of £50,000. Businesses and partnerships are not protected. Some banks and building societies share their banking licence and protection limit across multiple brands and subsidiaries, which means that the total £50,000 limit is shared across all these organisations. If you are a registered charity to ensure that all your money is protected it is advisable to deposit amounts over the limit with a provider that has a separate banking licence. If you have borrowed money from the bank or building society the compensation you receive cannot be used to reduce or repay your debt.

Note

The figures and details shown are obtained from sources believed to be reliable. The accuracy and completeness of any information cannot be guaranteed, however, and no warranty or representation is given. Due to the recent mergers and acquisitions in the finance sector individuals are advised to check specific conditions with individual banks and institutions as joint licence compensation limits can be dependent upon the dates when individual accounts are opened.

A

Name Banking Licence Protection Scheme Brands under the same licence

AA Financial Services

Bank of Ireland (UK) plc

UK

 Bank of Ireland

 Post Office Money

Adam and Company Royal Bank of Scotland UK

Royal Bank of Scotland

Ahli United Bank (UK) Ahli United Bank (UK) plc UK  
AIB AIB Group (UK) plc   Allied Irish Bank (GB)
Aldermore Aldermore Bank plc UK  

Allica Bank

Allica Bank Limited

UK

 
Allied Irish Bank (GB) AIB Group (UK) plc UK

AIB

Al Rayan Bank Al Rayan Bank plc UK  
Arbothnot Direct Arbuthnot Latham & Co. Ltd UK Arbuthnot Latham
Arbuthnot Latham Arbuthnot Latham & Co. Ltd UK Arbuthnot Direct
Atom Bank Atom Bank plc UK  
Axis Bank Axis Bank UK UK  

B

Name Banking Licence Protection Scheme Brands under the same licence
Bank and Clients Bank and Clients PLC UK  
Bank of Baroda Bank of Baroda (UK) Limited UK  
Bank of China (UK) Bank of China (UK) Limited UK  

Bank of Ireland UK

Bank of Ireland (UK) plc

UK

Post Office ® Money

AA Financial Services

Bank of London and The Middle East Bank of London and The Middle East plc UK  
Bank of Scotland Bank of Scotland plc UK

Birmingham Midshires

Halifax

Intelligent Finance

Barclays Bank

Barclays Bank UK plc

UK

 

Barclays Bank (Offshore Banking)

Barclays Bank plc

Guernsey

Isle of Man

Jersey

 
Bath Building Society Bath Investment and Building Society UK  
Beehive Money Nottingham Building Society UK

Nottingham Building Society

Beverley Building Society Beverley Building Society UK  
Birmingham Midshires Bank of Scotland plc UK Intelligent Finance
Britannia The Co-operative Bank plc UK

The Co-operative Bank

Smile

Brown Shipley Brown Shipley & Co Limited UK  
Buckinghamshire Building Society Buckinghamshire Building Society UK  

 

C

Name Banking Licence Protection Scheme Brands under the same licence
CAF Bank Charities Aid Foundation UK  
Cahoot Santander UK plc UK Santander
Cambridge & Counties Bank Cambridge & Counties Bank UK  
Cambridge Building Society Cambridge Building Society UK  

Castle Trust

Castle Trust Capital plc

UK

 
Cater Allen Private Bank Cater Allen Ltd UK  
Charity Bank The Charity Bank Ltd UK  
Charter Savings Bank Charter Court Financial Services Ltd UK  
Chase JP Morgan Europe Ltd UK

JP Morgan

Chelsea Building Society Yorkshire Building Society UK

Yorkshire Building Society

C Hoare & Co C Hoare & Co UK  
Chorley & District Building Society Chorley & District Building Society UK  
Citibank Citibank UK Ltd UK  
Close Brothers Savings Close Brothers Limited UK  
Clydesdale Bank Clydesdale Bank plc UK

Yorkshire Bank

Virgin Money

Conister Bank Conister Bank Ltd Isle of Man

 

The Co-operative Bank The Co-operative Bank plc UK
Guernsey

Britannia

Smile

Coutts & Co Coutts & Co UK  
Coventry Building Society Coventry Building Society UK Stroud & Swindon Building Society
Credit Suisse Credit Suisse (UK) Ltd UK  
Cumberland Building Society Cumberland Building Society UK  
Cynergy Bank Cynergy Bank Limited UK  

D

Name Banking Licence Protection Scheme Brands under the same licence
Danske Bank Northern Bank Limited UK  
Darlington Building Society Darlington Building Society UK  
Dudley Building Society Dudley Building Society UK

E

Name Banking Licence Protection Scheme Brands under the same licence
Earl Shilton Building Society Earl Shilton Building Society UK  
Ecology Building Society Ecology Building Society UK  
EFG Private Bank EFG Private Bank Ltd UK

F

Name Banking Licence Protection Scheme Brands under the same licence
Family Building Society National Counties Building Society UK

National Counties Building Society

FCMB Bank FCMB Bank (UK) Ltd UK  
first direct HSBC UK Bank plc UK

HSBC

FirstSave FBN bank (UK) Ltd UK  
Ford Money FCE Bank plc UK  
Furness Building Society Furness Building Society UK  

G

Name Banking Licence Protection Scheme Brands under the same licence
Gatehouse Bank Gatehouse Bank plc UK

H

Name Banking Licence Protection Scheme Brands under the same licence
Habib Bank Zurich Plc Habib Bank AG Zurich UK  
Halifax Bank of Scotland plc UK

Bank of Scotland

Birmingham Midshires

Intelligent Finance

Hampshire Trust Bank Hampshire Trust Bank Plc UK  
Handelsbanken Svenska Handelsbanken AB UK  
Hanley Economic Building Society Hanley Economic Building Society UK  
Harpenden Building Society Harpenden Building Society UK  
Hinckley & Rugby Building Society Hinckley & Rugby Building Society UK  
Hodge Bank Julian Hodge Bank Ltd UK  
HSBC HSBC UK Bank plc UK

 first direct

HSBC Expat

HSBC Bank plc

Jersey

 
HSBC Private Bank HSBC Private Bank (UK) Limited UK  

 

I

Name Banking Licence Protection Scheme Brands under the same licence
ICICI Bank UK ICICI Bank UK plc UK  
Ikano Bank Ikano Bank AB (publ) UK  
Investec Bank (Channel Islands) Ltd Investec Bank (Channel Islands) Ltd Guernsey  

Investec Bank plc

Investec Bank plc

UK

 Moneybox

 Plum

IsBank

Turkiye Is Bankasi As

UK

 

Isle of Man Bank

The Royal Bank of Scotland International

Isle of Man

 NatWest International

J

Name

Banking Licence

Protection Scheme

Brands under the same licence

JN Bank

JN Bank UK Limited

UK

 

J P Morgan

JP Morgan Europe Ltd

UK

Chase

K

Name Banking Licence Protection Scheme Brands under the same licence
Kent Reliance One Savings Bank plc UK  
Kleinwort Hambros SG Kleinwort Hambros Bank (CI) Limited

Guernsey

Jersey

 

L

Name Banking Licence Protection Scheme Brands under the same licence
Leeds Building Society Leeds Building Society

UK

Gibraltar

 
Leek United Building Society Leek United Building Society UK  
Lloyds Bank Lloyds Bank plc UK

Scottish Widows Bank

Lloyds Bank Private Banking

Cheltenham & Gloucester

Lloyds Bank International

 Lloyds Bank Capital Markets plc

Guernsey
Isle of Man
Jersey
 

Lloyds Bank Private Banking

Lloyds Bank plc

  • UK

 Scottish Widows   Bank

 Lloyds Bank

 Cheltenham &   Gloucester

Loughborough Building Society Loughborough Building Society UK  

M

Name

Banking Licence

Protection Scheme

Brands under the same licence

M&S Bank

Marks & Spencer Financial Services plc

 UK

 

Manchester Building Society Manchester Building Society

 UK

 

Mansfield Building Society

Mansfield Building Society

 UK

 

Marcus by Goldman Sachs

Marcus by Goldman Sachs

 UK

 

Market Harborough Building Society

Market Harborough Building Society

 UK

 

Marsden Building Society

Marsden Building Society

 UK

 

Masthaven

Masthaven

 UK

 

Metro Bank

Metro Bank

 UK

 

Moneybox

Moneybox

 UK

Investec Bank plc

Plum

Shawbrook Bank

Moneycorp Bank

Moneycorp Bank

 Gibraltar

 

Monmouthshire Building Society

Monmouthshire Building Society

 UK

 

Monzo Bank

Monzo Bank

 UK

 

My Community Bank

My Community Bank

 UK

 

N

Name Banking Licence Protection Scheme Brands under the same licence
National Counties Building Society National Counties Building Society UK

 Family Building Society

National Savings & Investments An executive agency of the Chancellor of the Exchequer 100% backed by HM Treasury  
Nationwide Building Society Nationwide Building Society UK  
NatWest National Westminster Bank plc UK  

NatWest Offshore

The Royal Bank of Scotland International plc

Gibraltar
Guernsey
Isle of Man
Jersey

 Isle of Man Bank

Nedbank Private Wealth Nedbank Private Wealth Limited
Licensed in the Isle of Man and Jersey
UK
Isle of Man
 
Newbury Building Society Newbury Building Society UK  
Newcastle Building Society Newcastle Building Society UK  
Nottingham Building Society Nottingham Building Society UK

 Beehive Money

O

Name

Banking Licence

Protection Scheme

Brands under the same licence

OakNorth Bank

OakNorth Bank PLC

UK

 

Oxbury Bank

Oxbury Bank Plc

UK

 

P

Name Banking Licence Protection Scheme Brands under the same licence
Paragon Bank Paragon Bank plc UK  
PCF Bank PCF Bank Ltd UK  

Penrith Building Society

Penrith Building Society

UK

 

Plum

Investec Bank plc

UK

Investec Bank plc

Moneybox

Post Office® Money

Bank of Ireland (UK) plc

UK

Bank of Ireland UK

AA Financial Services

Principality Building Society Principality Building Society UK  
Progressive Building Society Progressive Building Society UK  
Punjab National Bank Punjab National Bank (International) plc UK  

Q

 

Name Banking Licence Protection Scheme Brands under the same licence
QIB (UK) QIB (UK) Plc UK  

 

R

Name Banking Licence Protection Scheme Brands under the same licence
RCI Bank UK RCI Bank UK Ltd UK  
Redwood Bank Redwood Bank Limited UK  

Reliance Bank

Reliance Bank Limited

UK

 
Royal Bank of Canada (CI) Royal Bank of Canada (Channel Islands) Ltd Guernsey
Jersey
 
Royal Bank of Scotland Royal Bank of Scotland plc UK

Adam & Company

S

Name

Banking Licence

Protection Scheme

Brands under the same licence

Saffron Building Society

Saffron Building Society

UK

 

Saga

Bank of Scotland plc

UK

Marcus by Goldman Sachs®

Sainsbury's Bank

Sainsbury's Bank plc

UK

 

Santander

Santander UK plc

UK

Cahoot

Santander International

Santander Financial Services plc

Isle of Man

Jersey

 

Scottish Building Society

Scottish Building Society

UK

 

Scottish Widows Bank

Lloyds Bank plc

UK

Cheltenham & Gloucester

Lloyds Bank

Lloyds Bank Private Banking

Mayfair Private Bank, Worldwide Service

Secure Trust Bank

Secure Trust Bank plc

UK

 

Sensible Savings

The Access Bank UK Limited

UK

 

Shawbrook Bank

Shawbrook Bank Limited

UK

Moneybox

Skipton Building Society

Skipton Building Society

UK

 

Skipton International Limited

Skipton International Limited

Guernsey

 

Smile

The Co-operative Bank plc

UK

Britannia

The Co-operative Bank

Stafford Railway Building Society

Stafford Railway Building Society

UK

 

Standard Bank 

Standard Bank Jersey Ltd

Standard Bank Isle of Man Ltd

Isle of Man
Jersey

 

Starling Bank

Starling Bank Limited

UK

 

State Bank of India

State Bank of India

UK

 

Suffolk Building Society

Suffolk Building Society

UK

 

Swansea Building Society

Swansea Building Society

UK

 

T

Name Banking Licence Protection Scheme Brands under the same licence
Tandem Bank Tandem Bank Ltd UK  
Teachers Building Society Teachers Building Society UK  
Tesco Bank Tesco Personal Finance plc UK  
Tipton & Coseley Building Society Tipton & Coseley Building Society UK  
Triodos Bank Triodos Bank UK Ltd UK  
TSB TSB Bank plc UK  
Turkish Bank (UK) Turkish Bank (UK) Ltd UK  

U

Name Banking Licence Protection Scheme Brands under the same licence
UBL UK United National Bank Limited UK  
Ulster Bank Ulster Bank Limited UK  
Union Bank of India Union Bank of India (UK) Ltd UK  
United Trust Bank UK United Trust Bank Limited UK  
Unity Trust Bank Unity Trust Bank plc UK  

V

Name Banking Licence Protection Scheme Brands under the same licence
Vanquis Bank Vanquis Bank Ltd UK  
Vernon Building Society Vernon Building Society UK  

Virgin Money

Clydesdale Bank plc UK

Yorkshire Bank

Clydesdale Bank

W

Name Banking Licence Protection Scheme Brands under the same licence
Weatherbys Bank Limited Weatherbys Bank Limited UK  
Wesleyan Bank Wesleyan Bank Limited UK  
West Brom Building Society West Bromwich Building Society UK  
Wyelands Bank Wyelands Bank Plc UK  

Y

Name Banking Licence Protection Scheme Brands under the same licence
Yorkshire Bank Clydesdale Bank plc UK

Clydesdale Bank

Virgin Money

Yorkshire Building Society Yorkshire Building Society UK

Chelsea Building Society

Z

Name Banking Licence Protection Scheme Brands under the same licence
Zenith Bank Zenith Bank (UK) Ltd UK  
Zopa Zopa Bank Limited UK

Disclaimer: This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.

person writing in notebook with two laptops open

At a glance

  • To ensure that your business savings are protected it is important that your bank or building society is covered by a depositor protection scheme. 
  • A depositor protection scheme covers your money in the event the bank or building society went bust and this applies to offshore banks, as well as UK-based ones. 
  • Most businesses’ deposits are covered but there are exclusions so you should check with your chosen bank before you apply.

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