Top rated: Handelsbanken was overwhelmingly voted as the most SME friendly bank

Handelsbanken has been voted the clear winner when it comes to what SMEs think is the best business bank account.

The Swedish bank, which has more than 200 UK branches, came top of the leader board in four out of five categories, according to the latest Competition and Markets Authority survey published this month.

The bank was named best for overall service quality (79 per cent); relationship/account management (86 per cent); SME overdraft and loan services (78 per cent); and services in branches and business centres (73 per cent) for the fifth time by the survey.

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However, Barclays beat it to the top spot for online and mobile banking services.

BVA BDRC surveyed nearly 17,000 small business customers between July 2019 and June 2020, asking them if they would recommend their provider to other SMEs.

Mikael Sorensen, UK CEO of Handelsbanken, said: “We are particularly pleased to see this response coming from our SME customers, many of whom we have been working closely with to provide a range of tailored, flexible support.”

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Overall service quality – Handelsbanken

Handelsbanken was ranked first for overall service quality (79 per cent), beating Metro Bank into second place (67 per cent) and Santander third place (63 per cent). Royal Bank of Scotland tied with Allied Irish Bank for joint 13th place.

Overall service quality

#	Bank	%
1	Handelsbanken		79
2	Metro Bank		67
3	Santander		63
4	Barclays		59
5	Lloyds Bank		55
6=	Natwest		54
6=	Yorkshire Bank		54
8=	Clydesdale Bank		52
8=	HSBC UK		52
10	Bank of Scotland		51
11	The Co-Operative Bank		50
12	TSB		47
13=	AIB		45
13=	The Royal Bank of Scotland		45
Source: BVA BDRC

Online and mobile banking services – Barclays

This was the only category where Handelsbanken was not the most recommended bank by SMEs to others. Barclays came top at 73 per cent, followed by Metro Bank (72 per cent) and with Santander, NatWest and Lloyds tying for third ranked (69 per cent). The Co-Operative Bank was judged to have the least user friendly mobile and online banking service.

Online and mobile banking services

#	Bank	%
1	Barclays	73
2	Metro	72
3=	Santander	69
3=	NatWest	69
3=	Lloyds	69
6	Bank of Scotland	65
7=	Royal Bank of Scotland	63
7=	HSBC UK	63
9=	Handelsbanken	62
9=	Yorkshire Bank	62
11	Clydesdale Bank	57
12	TSB	52
13	AIB	44
14	The Co-Operative Bank	41
Source: BVA BDRC

Relationship and account management – Handelsbanken

Handelsbanken was again the clear winner when it came to relationship and account management (86 per cent) followed by Santander (66 per cent) and Metro Bank (63 per cent). Royal Bank of Scotland was again ranked bottom in 14th place (48 per cent).

Relationship and account management

#	Bank	%
1	Handelsbanken	86
2	Santander	66
3	Metro Bank	63
4	Barclays	59
5	Yorkshire Bank	58
6	NatWest	57
6	Clydesdale Bank	57
8	Lloyds Bank	56
8	AIB	56
10	TSB	53
11	HSBC UK	52
12	Bank of Scotland	50
13	The Co-Operative Bank	49
14	The Royal Bank of Scotland	48
Source: BVA BDRC

SME overdraft and loan – Handelsbanken

When it comes to arranging small business overdrafts and loan facilities, Handelsbanken was far and away the highest-recommended bank by SMEs to their peers, scoring 78 per cent compared with 65 per cent for second-ranked Yorkshire Bank and 63 per cent for Santander.

SME overdraft and loan

#	Bank	%
1	Handelsbanken	78
2	Yorkshire Bank	65
3	Santander	63
4	Barclays	61
4	HSBC UK	61
6	Clydesdale Bank	59
7	Lloyds Bank	58
7	NatWest	58
9	AIB	53
10	Royal Bank of Scotland	52
11	Bank of Scotland	51
11	TSB	51
Source: BVA BDRC

Service in branches – Handelsbanken

Handelsbanken squeaked to first place at 73 per cent, although Metro Bank – known for its grand banking foyers – was just behind at 72 per cent. Lloyds Bank was some way behind in third place at 61 per cent.

Service in branches

1	Handelsbanken		73
2	Metro Bank		72
3	Lloyds Bank		61
4	TSB		58
5	Yorkshire Bank		55
5	Clydesdale Bank		55
7	Santander		54
7	Bank of Scotland		54
8	HSBC UK		53
9	Barclays		52
11	NatWest		50
12	The Co-Operative Bank		47
13	Royal Bank of Scotland		40
14	AIB		38
Source: BVA BDRC

Further reading

What are the best business bank accounts in the UK?