Bank Ranking Site for Businesses Launched
Banking transparency promised following launch of government supported site, Business Banking Insight, with firms rating experience, service and products
A site enabling small and mid-sized businesses to compare banks and rate the service they experienced has launched.
Supported by small firms’ campaigning group Federation of Small Businesses (FSB) and the British Chamber of Commerce (BCC),Business Banking Insight (BBI), is the result of an independent survey of 5,000 businesses, identifying 74 different bank brands, and uses a five-star rating system to rank them.
The website, which went live on May 28th, enables users to filter results depending on specifics such as number of employees and location – to support the different needs and attitudes of every business.
A new survey will be conducted and published every six months, and results are displayed on three different sections: current accounts, service and products, and the particular bank’s page.
Key findings of the current survey showed an average current account satisfaction score of 60% to 65% across all respondents. However while sole traders were the most willing to award a 5-star rating for value for money, this decreases as the business size increases with companies of nine employees and over not giving a 5-star rating to any bank.
BBI is part of an overall drive by the government towards creating greater transparency and better resources for small and mid-sized businesses, with legislation expected to be included in the Queen’s speech that makes it mandatory for banks to pass on any small businesses they turn down for funding to alternative finance providers.
Chancellor George Osborne confirms the website’s part in the government’s strategy to help small business:
“A key part of our long term economic plan is increasing competition and choice in banking, and ensuring Britain’s SMEs get the best possible service from their bank,” he said. “This new survey will be a powerful tool for these businesses, providing them with the means to see who’s up for the challenge and who isn’t.”
John Callan, chairman of the FSB, emphasised the advantages the site will have, as well as the importance small and mid-sized business community played in the economy’s growth:
“Nearly 60% of the UK workforce is employed by a small to medium sized business and 99% of firms employ fewer than 49 people. For the first time this ground-breaking website will give these economically vital firms what they need to be able to make better informed choices about the banks they choose and the products they offer.”