New entrants prompt a big switch

With the Post Office announcing last week that it will launch into the current account market, following on from a number of other providers such as M&S Bank, nearly half of Brits (46 per cent) say it has encouraged them to switch their current account, according to MoneySupermarket.
 
The poll of 1,651 MoneySupermarket site users revealed that of those who are now thinking about switching current accounts (46 per cent), one in 10 say they will switch to the Post Office account.  A further 10 per cent will look for a better deal available to them in the market, and for 26 per cent, the Post Office's announcement along with other similar moves by other providers has made them think about switching current accounts.
 
The poll also revealed there is still some way to go however, with 49 per cent people saying they wouldn't be looking to switch their current account any time soon. While the majority of those (36 per cent) state this is because they are happy with their existing provider, one in ten (9 per cent) simply can't be bothered. Four per cent say they don't know where to start.
 
Kevin Mountford, Head of Banking at MoneySupermarket, said: "It is encouraging to see that so many people are now planning to take control of their finances and are looking to shop around to find the best current account deal to suit their needs. Many people are put off switching current accounts by the perception that it can be a complex process. They don't realise that switching is fairly easy, with many banks having dedicated teams to ensure the process runs smoothly. Furthermore, the introduction of a new seven day switching promise later this year will make it even easier, which will be positive for consumers.
 
"Although the Post Office has not yet revealed full details of the current account products it will offer, it is not surprising that their announcement, following on from similar moves by M&S Money, has prompted so many people to start thinking about switching their current account. The Post Office is a popular, trusted brand, and already has a large savings account portfolio. It also, has over 11,500 branches throughout the country. It is therefore likely to be a serious challenger in the current account market. Our poll* has shown that one in ten people plan to switch to the Post Office current account, and it will be interesting to see whether this number increases once full details of the account are revealed. The key for anyone looking to switch is to think about how you use your current account, and then shop around for the deal that best suits your needs."