Business bank account provider Barclays has launched a new cash incentive aimed at small businesses, offering £175 to eligible firms that open or switch to a Barclays Business Bank Account. The promotion runs until 9 January 2026 and is open to UK-registered businesses whose owners are aged 18 or over. As competition heats up in the business banking sector, cash bonuses are once again being used to attract startups, sole traders and established SMEs.
What is the Barclays business bank account offer?
Under the promotion, businesses that open a new Barclays Business Bank Account, or switch an existing account using the Current Account Switch Service, can qualify for a £175 welcome bonus. To be eligible, customers must not already hold a Barclays business account.
Once the account is open or the switch is complete, businesses need to set up at least two active Direct Debits and spend a minimum of £200 on their Barclays debit card for three consecutive months. All conditions must be met within four months of opening or switching the account. If successful, Barclays says the bonus will be paid into the account within 45 working days.
The offer sits alongside other incentives, including no monthly account fee for the first 12 months, free access to FreshBooks accounting software worth more than £260 a year, and digital banking features such as in-app support and cheque imaging.
What’s the catch?
While the headline £175 looks attractive, businesses need to be aware of the conditions. The debit card spending requirement must be met every month for three months, not cumulatively, and the Direct Debits must remain active. Missing a single month’s spending target could invalidate the bonus.
After the first year, the account carries a £8.50 monthly fee, and transaction charges may apply depending on how the account is used. Barclays also notes that it may withdraw or amend the offer at any time, and that the bonus could have tax implications, which remain the responsibility of the business owner.
The offer is limited to one per business and excludes existing Barclays business customers.
Is it worth it?
For businesses that already expect to meet the spending and Direct Debit requirements, the £175 bonus is a straightforward reward for switching. When combined with a year of fee-free banking and free accounting software, the total value could be significantly higher than the cash incentive alone.
However, firms that are unlikely to use their debit card regularly, or that prefer banks with permanently free accounts, may find the longer-term costs outweigh the short-term benefit. As with most bank switching offers, the deal is best suited to businesses that plan to actively use the account rather than open it solely for the bonus.
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Having worked as a broker at Investors Intelligence and a multi-asset derivatives broker at MF Global (Man Financial), Richard has acquired substantial experience in the industry. His career began as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson), following internships on the NYMEX oil trading floor in New York and London IPE in 2001 and 2000.
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