The United Kingdom (UK)-based Nationwide Building Society is the largest building society in the world, with approximately 16.3 million members. As well as being a building society, Nationwide is one of the United Kingdom’s leading and most widespread financial institutes, specializing in household savings and mortgages. Market share of Nationwide products In 2024, Nationwide’s market share of the UK’s savings accounts market declined slightly, to 9.6 percent. Impressively, the Swindon-based company still held a UK market share of 11.5 percent in 2024. The group also saw an increasing market share of current accounts held in the UK in 2023. Assets and profit Between 2014 and 2023, the Nationwide Building Society saw total assets increase. The vast majority of its assets were through loans and advances to customers. Although the group has seen market shares increase in products offered, the building society has seen underlying profit decrease annually between 2016 and 2020 before rising again in 2021.

Interest-bearing sight deposits were the type of savings deposit with the highest outstanding amount in the United Kingdom in the first half of 2025. The outstanding value of those types of deposits in the UK amounted to 903 billion British pounds that year, while the value of NS&I deposits was 241 billion British pounds.

This statistic illustrates the estimated number of savings accounts in the United Kingdom (UK) as of ************, by age group. In a survey conducted by the Financial Conduct Authority (FCA) in ************ it was calculated that approximately **** million adults within the UK held a savings account. Of this total the highest number of accounts of any age range were held by 45 to 54 year olds with approximately **** million. Over ** year olds held an estimated **** million current accounts, making up ** percent of the entire savings account market.

Following the FCA's Cash Savings Market Review 2023, it conducted an in-depth analysis of the profits made on savings and their contribution to overall firm profitability. Profitability is key to firms being able to operate effectively and provide services to consumers.

The FCA updates on progress in the cash savings market since it published its review in July 2023. In July the FCA published a review of the cash savings market, setting out an action plan to ensure that banks and building societies are: passing on interest rate rises to savers appropriately communicating with customers much more effectively offering better savings rate deals to customers The FCA committed to monitoring relevant firm and market statistics, linked to the outcomes it wants to see on cash savings. This update sets out how the market has developed since then, as well as where firms need to continue to make progress towards the consumer outcomes it expects. It expects to see continued improvements from firms.

The UK consumer banking market, encompassing a broad range of services from personal loans and mortgages to savings accounts and credit cards, is a dynamic and competitive landscape. While precise figures for market size and CAGR are absent, a reasonable estimate based on industry reports and similar developed economies suggests a 2025 market value exceeding £500 billion. The market's growth is propelled by several key drivers. Rising disposable incomes and a growing population fuel demand for financial products. Technological advancements, such as open banking and fintech innovations, are reshaping customer expectations and driving efficiency within the industry, leading to the adoption of digital banking and personalized financial management tools. Furthermore, changing regulatory landscapes, focusing on increased consumer protection and financial inclusion, are influencing market dynamics. However, the market faces certain headwinds. Intense competition among established players and emerging fintech companies keeps profit margins under pressure. Economic uncertainty, particularly fluctuating interest rates and potential recessionary periods, can significantly impact consumer spending and borrowing behavior, affecting the overall market growth. Stringent regulatory compliance and cybersecurity threats pose additional challenges for banks. Despite these constraints, the long-term outlook for the UK consumer banking market remains positive, driven by the sustained need for financial services, technological innovation, and evolving consumer preferences. Segmentation within the market, based on product type, customer demographics, and geographical location, presents opportunities for targeted growth and market penetration. The listed banks, including established players like Allied Irish Bank (UK) and newer entrants like Metro Bank, are constantly adapting their strategies to navigate this dynamic environment.

Provides information on savings in adult and junior Individual Savings Accounts - the number of individuals subscribing to ISAs and market values of ISAs. Source agency: HM Revenue and Customs Designation: National Statistics Language: English Alternative title: Individual Savings Accounts Main Tables 9.4

The UK Fintech market, valued at £14.74 billion in 2025, is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) of 10% from 2025 to 2033. This expansion is fueled by several key drivers. The increasing adoption of mobile banking and digital payments, driven by convenience and technological advancements, significantly contributes to market growth. Furthermore, the rise of open banking initiatives is fostering innovation and competition, allowing for seamless integration of financial services and the emergence of new, specialized fintech solutions. Government support for technological advancements in financial services and a supportive regulatory environment are also crucial factors. While the market faces challenges such as cybersecurity concerns and the need for robust consumer protection measures, the overall trajectory points toward continued expansion. The segmentation of the market reveals strong growth across various service propositions, including money transfers, digital lending, and online insurance. Mobile apps are the dominant technological platform, with AI and Machine Learning adoption accelerating, signifying the evolution towards sophisticated, personalized financial solutions. The substantial investments made by companies such as Revolut, Monzo, and TransferWise, and the emergence of innovative players like Starling Bank and Nutmeg, underscore the dynamism and potential of the UK Fintech sector. The UK Fintech market's diverse range of services caters to both consumers and businesses. The consumer segment benefits from convenient and accessible financial solutions, while businesses leverage Fintech for streamlined operations and enhanced efficiency. The continued growth is expected to be driven by increased competition, technological advancements, such as the broader adoption of AI and blockchain technology, and the growing demand for personalized financial services. The market's expansion is further enhanced by strategic partnerships and acquisitions amongst established and emerging fintech companies, creating a competitive landscape characterized by constant innovation and growth. The market will likely see increased regulatory scrutiny to ensure consumer protection and financial stability, but the overall outlook remains positive, indicating significant opportunities for growth and development over the forecast period. Recent developments include: September 2023: Moneybox, the award-winning saving and investing platform, launched a new market-leading Cash ISA, offering 4.65% AER (variable) on deposits of GBP 500 (USD 629.99) or more. Designed to encourage people to grow their savings tax-free over the medium-long term, this new Cash ISA allows up to three withdrawals within 12 months from the account opening date without compromising the attractive interest rate., March 2023: The fintech formerly known as Transferwise is continuing its evolution as it rolled out its rebrand. Wise's new look, which comes as it hits 16 million customers worldwide, was created to reflect its global reach, drawing inspiration from the currencies, languages, and places it serves worldwide. With around six million active customers moving a massive EUR 100 Billion (USD 107.17 Billion) annually, the company is onboarding 100,000 new users every week as it works on its mission to make a move “move faster, more conveniently, and eventually free.". Key drivers for this market are: Government Support is Driving the Market, Strong Financial Ecosystem is Driving the Market. Potential restraints include: Government Support is Driving the Market, Strong Financial Ecosystem is Driving the Market. Notable trends are: Rising Payments and Digital Banking in the United Kingdom.

Retail Banking Market Outlook

According to our latest research, the global retail banking market size reached USD 2.89 trillion in 2024, reflecting the sectorÂ’s robust expansion as digital transformation and evolving consumer preferences continue to reshape the financial services landscape. The market is projected to grow at a CAGR of 4.7% from 2025 to 2033, reaching an estimated USD 4.36 trillion by 2033. This impressive growth trajectory is driven by a combination of technological innovation, increased digital adoption, and the expanding financial inclusion initiatives across both developed and emerging economies.

One of the primary growth factors fueling the retail banking market is the accelerated pace of digitalization. Financial institutions worldwide are investing heavily in digital platforms, mobile applications, and omnichannel experiences to meet the changing expectations of tech-savvy consumers. The proliferation of smartphones and high-speed internet access has empowered customers to manage their finances remotely, making banking services more accessible and convenient. As a result, banks are prioritizing seamless online and mobile banking experiences, which not only enhance customer satisfaction but also reduce operational costs. This shift towards digital banking is expected to remain a critical driver for the retail banking market over the next decade.

Another significant factor contributing to the marketÂ’s growth is the increasing emphasis on financial inclusion, particularly in emerging markets. Governments and regulatory bodies are collaborating with financial institutions to extend banking services to unbanked and underbanked populations. Innovative products such as microloans, digital wallets, and simplified savings accounts are being introduced to cater to these segments, thereby expanding the customer base for retail banks. Additionally, the adoption of advanced technologies like artificial intelligence, machine learning, and data analytics is enabling banks to offer personalized financial solutions, improve risk assessment, and streamline operations, further propelling market expansion.

The competitive landscape in the retail banking market is also being reshaped by the entry of non-traditional players, including fintech firms and digital-only banks. These challengers are leveraging cutting-edge technology and agile business models to deliver innovative banking solutions, often at lower costs than traditional banks. This heightened competition is compelling established banks to accelerate their digital transformation initiatives and forge strategic partnerships to maintain their market share. Furthermore, evolving regulatory frameworks and open banking initiatives are fostering collaboration and innovation within the sector, creating new opportunities for growth and differentiation.

In the evolving landscape of retail banking, Hyper-Personalization in Banking is becoming a pivotal strategy for financial institutions aiming to enhance customer engagement and satisfaction. By leveraging big data, artificial intelligence, and machine learning, banks can gain deeper insights into individual customer behaviors and preferences. This allows them to tailor products, services, and communication to meet the unique needs of each customer. As consumers increasingly demand personalized experiences akin to those offered by tech giants, banks are investing in technologies that enable real-time data analysis and customer interaction. This shift not only improves customer loyalty but also opens new revenue streams by offering targeted financial solutions that resonate with customers on a personal level.

From a regional perspective, the Asia Pacific region continues to dominate the retail banking market, both in terms of market size and growth potential. Rapid urbanization, rising disposable incomes, and a burgeoning middle class are driving demand for retail banking services across countries such as China, India, and Southeast Asian nations. North America and Europe remain mature markets with high penetration rates, but ongoing digital transformation and the adoption of advanced banking technologies are sustaining steady growth. Meanwhile, Latin America and the Middle East & Africa are witnessing increased investments in banking infrastructure and digital platforms, paving the way for future m

August 2024 marked a significant shift in the UK's monetary policy, as it saw the first reduction in the official bank base interest rate since August 2023. This change came after a period of consistent rate hikes that began in late 2021. In a bid to minimize the economic effects of the COVID-19 pandemic, the Bank of England cut the official bank base rate in March 2020 to a record low of *** percent. This historic low came just one week after the Bank of England cut rates from **** percent to **** percent in a bid to prevent mass job cuts in the United Kingdom. It remained at *** percent until December 2021 and was increased to one percent in May 2022 and to **** percent in October 2022. After that, the bank rate increased almost on a monthly basis, reaching **** percent in August 2023. It wasn't until August 2024 that the first rate decrease since the previous year occurred, signaling a potential shift in monetary policy. Why do central banks adjust interest rates? Central banks, including the Bank of England, adjust interest rates to manage economic stability and control inflation. Their strategies involve a delicate balance between two main approaches. When central banks raise interest rates, their goal is to cool down an overheated economy. Higher rates curb excessive spending and borrowing, which helps to prevent runaway inflation. This approach is typically used when the economy is growing too quickly or when inflation is rising above desired levels. Conversely, when central banks lower interest rates, they aim to encourage borrowing and investment. This strategy is employed to stimulate economic growth during periods of slowdown or recession. Lower rates make it cheaper for businesses and individuals to borrow money, which can lead to increased spending and investment. This dual approach allows central banks to maintain a balance between promoting growth and controlling inflation, ensuring long-term economic stability. Additionally, adjusting interest rates can influence currency values, impacting international trade and investment flows, further underscoring their critical role in a nation's economic health. Recent interest rate trends Between 2021 and 2024, most advanced and emerging economies experienced a period of regular interest rate hikes. This trend was driven by several factors, including persistent supply chain disruptions, high energy prices, and robust demand pressures. These elements combined to create significant inflationary trends, prompting central banks to raise rates in an effort to temper spending and borrowing. However, in 2024, a shift began to occur in global monetary policy. The European Central Bank (ECB) was among the first major central banks to reverse this trend by cutting interest rates. This move signaled a change in approach aimed at addressing growing economic slowdowns and supporting growth.

Nearly all the outstanding savings in cash ISAs in the United Kingdom (UK) were located in monetary financial institutions in 2024. That term can refer to banks and building societies. Meanwhile, the estimated outstanding value of cash ISAs held in national savings and investments (NS&I) amounted to over five billion British pounds that month. The overall value of cash ISAs was much higher in 2024 than a year earlier.

Over the five years through 2025-26, UK banks' revenue is expected to climb at a compound annual rate of 4.8% to £136 billion, including an anticipated hike of 3.6% in 2025-26. After the financial crisis in 2007-08, low interest rates limited banks' interest in loans, hitting income. At the same time, a stricter regulatory environment, including increased capital requirements introduced under the Basel III banking reforms and ring-fencing regulations, constricted lending activity. To protect their profitability, banks like Lloyds have shut the doors of many branches and made substantial job cuts. Following the COVID-19 outbreak, the Bank of England adopted an aggressive tightening of monetary policy, hiking interest rates to rein in spiralling inflation. The higher base rate environment lifted borrowing costs, driving interest income for banks, which reported skyrocketing profit in 2023-24. Although profit grew markedly, pressure to pass on higher rates to savers and fierce competition weighed on revenue growth at the tail end of the year. However, the prospect of rate cuts in 2024-25 saw many banks lower their savings rates, aiding revenue growth. In 2025-26, although further interest rate cuts are on the horizon, revenue is set to grow, due to lower borrowing costs driving activity in the housing market. Banks have also reduced their exposure to interest rate cuts through structural hedges, which lock in rates when they fluctuate. The FCA’s investigation into motor commissions has been a cause for concern over recent years, with banks like Lloyds and Santander ramping up provisions over 2024-25 in preparation for large payouts, if the Supreme Court deems banks were carrying out illegal activities. Over the five years through 2030-31, industry revenue is forecast to swell at a compound annual rate of 4% to reach £165.8 billion. Regulatory restrictions, tougher stress tests and stringent lending criteria will also hamper revenue growth. Competition is set to remain fierce – both internally from lenders that deliver their services exclusively via digital channels and externally from alternative finance providers, like peer-to-peer lending platforms. The possibility of legislation like the Edinburgh reforms will drive investment and lending activity in the coming years, if introduced. However, concerns surrounding the repercussions of less stringent capital requirements and the already fragile nature of the UK financial system pose doubt as to whether any significant changes will be made.

The benchmark interest rate in the United Kingdom was last recorded at 4 percent. This dataset provides - United Kingdom Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The European neobanking market is experiencing explosive growth, driven by increasing smartphone penetration, the demand for digital-first financial services, and a younger generation's preference for convenient, mobile-centric banking solutions. The market, valued at approximately €X million in 2025 (assuming a reasonable extrapolation from the provided CAGR and market size information), is projected to witness a Compound Annual Growth Rate (CAGR) of 21% from 2025 to 2033, reaching a substantial market size by the end of the forecast period. This rapid expansion is fueled by several key factors. Firstly, neobanks offer competitive pricing and personalized services, attracting customers dissatisfied with traditional banking models. Secondly, the increasing integration of open banking APIs is enabling seamless data exchange and the creation of innovative financial products. Finally, robust mobile banking apps and streamlined digital processes are enhancing customer experience and driving adoption. However, the market faces certain challenges. Regulatory hurdles and compliance requirements across different European countries present complexities for neobanks operating internationally. Cybersecurity threats and the need to maintain robust data protection measures are also significant concerns. Despite these challenges, the continued innovation in mobile payment technologies, expansion of financial inclusion initiatives, and increasing consumer trust in digital financial services are expected to propel market growth throughout the forecast period. Key market segments, including business accounts, savings accounts, mobile banking, payment transfers, loans, and other services, are all demonstrating substantial growth potential, with competition intensifying among established players like Revolut and Monzo and emerging fintech startups across Europe's major economies such as the United Kingdom, Germany, France, and Spain. This comprehensive report provides a detailed analysis of the rapidly evolving Europe neobanking market, covering the period from 2019 to 2033. With a focus on the base year 2025 and a forecast period extending to 2033, this study offers invaluable insights into market size, growth drivers, challenges, and key players shaping this dynamic sector. The report leverages data from the historical period (2019-2024) to deliver accurate predictions and strategic recommendations for businesses operating within or intending to enter the European neobanking landscape. Keywords: Europe neobanking market, neobank, mobile banking, fintech, digital banking, payments, money transfers, savings accounts, business accounts, loans, market size, market share, market growth, competitive landscape. Recent developments include: In March 2022, Nordic neobank Lunar raises USD 77 Million at a USD 2 Billion valuation, and launches a crypto trading platform and B2B payments for its small and medium business customers. It has now raised EUR 345 million in total, with other past investors including Seed Capital, Greyhound Capital, Socii Capital and Chr. Augustinus Fabrikker., In October 2021 N26 announces a landmark Series E funding round of more than $900 million was led by Third Point Ventures and Coatue Management and joined by Dragoneer Investment Group as well as existing N26 investors. Notable trends are: Increasing user penetration of Neobanking Apps.

While building societies specialize in savings and mortgage lending, they also offer many traditional banking products like current accounts with a debit card, check book, overdraft, and online banking. What differentiates them from banks is that they are not traded on the stock market and do not have shareholders. Instead, the decision-makers of building societies are the investing members, who receive information about general meetings and can vote in elections for the board of directors.

Current accounts market share of the Nationwide Building Society

In 2022, Nationwide was the largest building society and the thirdbiggest mortgage lender by market share in the United Kingdom (UK), at 12 percent. Nationwide’s current accounts market share (including standard and packaged accounts) has seen a year-on-year increase since 2011, reaching 10.4 percent in 2023.

Building Societies in the UK

In 2021, the top five building societies by total group assets in the UK were: Nationwide, Coventry, Yorkshire, Skipton, and Leeds. Per month, UK building societies accounted for between15,000 and 46,000 mortgage loan approvals.