Our Sole Trader Bank Account Picks
Best Overall
Pick Tide for invoicing, expense tracking, and receipt capture inside the banking app. It opens in minutes with an NI number and photo ID, and new accounts are FSCS protected to £120,000 via ClearBank. The free plan covers 5 transfers a month, then 20p each way.
Get £100 cashback with TideBest Free Account
Starling is the cleanest free account here: no monthly fee, no per-transaction charges, FSCS protection, and an overdraft subject to status. If you bill by invoice and rarely handle cash, £0 a month with a full banking licence is hard to beat.
Visit StarlingBest for Freelancers
Tide suits invoice-led freelancers: billing lives where the money does, so you create, send, and chase invoices from the app, with automatic reconciliation when payment lands. Below 50 payments a month with no cash, it stays near free and removes a separate invoicing tool.
Get £100 cashback with TideBest for Trades and Contractors
NatWest pairs a business current account with FreeAgent bundled free and real cash deposits via branch and Post Office. If clients pay cash on-site and you want an overdraft to grow into, the slower onboarding and £5 monthly fee after year one are worth it.
Visit NatWestBest for Tax and Self-Assessment Tools
Mettle shows your estimated tax in real time through bundled FreeAgent: categorised transactions flow into your return, and you file self-assessment from the same place. Tide’s tax pot auto-reserves a share of each payment in. Both work on the free tier.
Visit MettleBest for Cash Deposits
NatWest is the only account here that takes cash for free, via branches and the Post Office. For occasional cash on a free app account, Starling accepts deposits at 0.7% through the Post Office. Revolut, Mettle, Zempler, and ANNA take no cash at all.
Visit NatWestBest for International Payments
Revolut is the pick for invoicing overseas clients or paying suppliers abroad: interbank rates up to £1,000 a month, then a 0.6% markup, with multiple currencies in one account. At £10 a month for Basic, it only pays off if you’re making international payments regularly.
Visit RevolutBest for Newly Self-Employed Sole Traders
Tide, Starling, and Mettle open to sole traders on day one, with no minimum turnover or trading history. Apply the same day you register with HMRC; most applications finish in under 10 minutes with an NI number and photo ID.
Get £100 cashback with TideBusiness Bank Account Providers Compared
We ran these accounts through the jobs a sole trader does day to day, then weighed each on the fit that matters: the application path, the self-assessment tools, the structural limits, and what the account really costs once you add transfers, cash, and FX at self-employed volumes.
Tide Free Business Account
Revolut Business Basic Account
Zempler Bank Business Go Account
ANNA Money Pay As You Go Account
Starling Bank Business Current Account
Monzo Business Lite Account
Mettle Business Bank Account
NatWest Business Bank Account
What These Sole Trader Bank Accounts Really Cost
Your “free” sole trader account may not be free once you add transfers, cash, and FX. We checked each fee against the provider’s current pricing page in June 2026. The table runs from the headline fee to what you would realistically pay.
| Provider | Monthly fee | UK transfers | Cash deposits | FX fees | Paid plan trigger | Realistic monthly cost |
|---|---|---|---|---|---|---|
| Tide | Free | 5 free/mo, then 20p | 3% (PayPoint) | 2.75% card use; 0% on paid plans | Tide Plus £9.99 above ~50 transfers/mo | ~£5 at 30 payments |
| Starling | Free | Free | 0.7% (Post Office) | Mastercard rate, no markup | None, free at any volume | £0 |
| Mettle | Free | Free | Not accepted | Mastercard rate | None | £0 |
| Revolut | £10/mo (Basic) | Free within plan allowance | Not accepted | Interbank to £1,000/mo, then 0.6% | Higher tiers lift FX and transfer limits | ~£10 |
| ANNA | From £0 (PAYG) | Free out; 0.95% on money in | Not accepted | 1% conversion | Paid tier adds tax automation | From £0, plus 0.95% on incoming |
| Monzo | Free (Lite) | Free | £1 (PayPoint) | Mastercard rate (fee-free on paid) | Pro tier for integrations and pots | £0 (Lite) |
| Zempler | Free | 3 free/mo, then 35p | Not accepted | Standard | Above 3 transfers/mo (35p each) | ~£9 at 30 payments |
| NatWest | £5/mo (free 12mo startups) | Free (electronic) | Free (branch / Post Office) | 2.75% non-sterling | £5/mo after the 12-month free period | £0 year one, £5 after |
| Verified 14 June 2026. | ||||||
Low payment volume. Under 30 payments a month, Tide Free is the cheapest account that also gives you invoicing; Starling and Mettle stay at £0 too.
High payment volume. Above roughly 50 outgoing payments a month, Tide’s 20p fees overtake Tide Plus at £9.99, so move to Starling or Mettle, which are free at any volume.
Cash-heavy businesses. Only Starling, Tide, Monzo, and NatWest take deposits. NatWest is free; the others charge, and Revolut, Mettle, Zempler, and ANNA take no cash at all.
International payments. We rate Revolut cheapest at near-interbank rates; NatWest charges 2.75% on non-sterling card use, so regular overseas billing points to Revolut.
Eligibility and Account Requirements
Sole trader banking differs from limited company banking in ways that shape which accounts fit: you file self-assessment rather than corporation tax, you are personally liable for the business, and there is no company registration for a bank to verify.
So sole traders apply with an NI number and UTR, not a Companies House number. We verified eligibility with each provider in June 2026. The table covers acceptance and application; the bullets explain the trading names, UTRs, and credit checks you should expect.
| Provider | Accepts sole traders | Companies House number needed? | Credit check | Typical opening time |
|---|---|---|---|---|
| Tide | Yes | No | Soft | Minutes |
| Starling | Yes | No | Soft | Minutes |
| Mettle | Yes | No | Soft | Minutes |
| Revolut | Yes | No | Soft | Minutes |
| ANNA | Yes | No | Soft | Minutes |
| Monzo | Yes | No | Soft | Minutes |
| Zempler | Yes | No | Soft | 1 to 2 days |
| NatWest | Yes | No | Standard (hard) | 5 to 10 working days |
| Verified 14 June 2026. | ||||
NI number and ID. Every account here opens on your National Insurance number and photo ID. None asks a sole trader for a Companies House registration; a provider that does is not built for sole traders.
Revolut. Sole traders apply for Revolut Pro, its account for freelancers and sole traders inside the personal Revolut app, not Revolut Business, which is for incorporated companies. The eligibility here reflects Revolut Pro.
UTR. Have your Unique Taxpayer Reference to hand. Most providers ask for it at or after opening so self-assessment links up cleanly, and NatWest uses it as part of underwriting.
Trading names. ANNA and Mettle are built around self-employed people and accept a trading name such as “Smith Plumbing”. The others open in your personal name, with a trading name added in-app where the provider supports it.
Credit checks. Tide, Starling, Revolut, Monzo, Mettle, Zempler, and ANNA run soft checks that don’t affect your personal score. NatWest runs a standard hard check, so if you are about to apply for a mortgage, hold off on a NatWest application.
Application time. App-first providers open in minutes; Zempler takes one to two days; NatWest takes five to ten working days through its online or branch route.
Features That Matter for Sole Traders
The features that save you January-deadline stress matter more than the ones that look slick on a marketing page. We weighted self-assessment tools, integrations, cash access, and borrowing by how much a sole trader actually uses them.
Accounting Integrations
We checked each integration against the providers’ current documentation in June 2026. Tide and Starling cover Xero, QuickBooks, and FreeAgent directly. Mettle integrates only via FreeAgent, which it bundles free.
Revolut and Monzo connect to Xero and QuickBooks. ANNA supports Xero and QuickBooks but has no Sage integration. NatWest covers FreeAgent, Xero, and QuickBooks.
Invoicing Tools
Tide ships built-in invoicing: create, send, and track invoices inside the banking app, with payment links and automatic reconciliation. ANNA bundles AI invoice matching as a paid add-on. Starling, Mettle, Monzo, Revolut, Zempler, and NatWest leave invoicing to your accounting software.
Invoicing inside the bank wins if you don’t already run accounting software; if you do, your invoices belong where your books are.
Tax and Self-Assessment Tools
Tax-side tools are the single biggest differentiator for sole traders. Tide’s tax pot auto-reserves a percentage of every incoming payment.
Mettle’s bundled FreeAgent calculates your estimated tax liability in real time and lets you file self-assessment directly. NatWest’s bundled FreeAgent does the same. Starling connects to FreeAgent but you configure the bank feed manually.
If you leave self-assessment to the last week of January, these tools do the organising you didn’t.
Cash Deposits
If you take cash, your shortlist is short. NatWest is the only account here with free cash deposits, via branches and the Post Office. Starling, Tide, and Monzo charge to bank cash; Revolut, Mettle, Zempler, and ANNA take no cash at all.
| Provider | Cash deposits |
|---|---|
| NatWest | Free (branch / Post Office) |
| Starling | 0.7% (Post Office) |
| Tide | 3% (PayPoint) |
| Monzo | £1 per deposit (PayPoint) |
| Revolut, Mettle, Zempler, ANNA | Not accepted |
| Verified 14 June 2026. | |
Overdrafts and Borrowing
Starling offers an overdraft subject to status on the free tier. NatWest offers overdrafts to sole traders through standard underwriting. Zempler pays interest on balances. Tide, Revolut, Mettle, Monzo, and ANNA don’t offer sole trader overdrafts.
If you need a borrowing facility alongside your current account, a business credit card is usually the more accessible route for sole traders with limited trading history.
App and Day-to-Day Banking
All digital providers offer in-app chat, instant card freeze, push notifications, and two-factor authentication. We rate Tide and Starling the most polished. NatWest is usable but noticeably less refined. ANNA is feature-rich but the AI features require the paid tier.
How to Choose the Right Sole Trader Bank Account
The right sole trader account depends on how you bill, what you accept as payment, what you trade under, and how much admin you want the bank to absorb. Use this as a decision framework, not another ranking pass.
Choose by payment volume. Under 30 payments a month, Tide Free is cheapest and includes invoicing. At 30 to 60, Starling or Mettle win because Tide’s 20p fees add up. Above 60, only Starling, Mettle, or Tide Plus stay cost-sensible.
Choose by cash handling. If you take cash regularly, as a plumber paid on-site, a market trader, or a decorator on stage payments, app polish is secondary. We narrow it to NatWest, Starling, or Tide; Revolut, Mettle, Zempler, and ANNA take no cash.
Choose by business type. Freelancers billing by invoice: Starling or Tide. Trades paid in cash: NatWest or Starling. International billing with European or US clients: Revolut. Trading-name operators such as “Smith Plumbing”: ANNA or Mettle.
If you expect to incorporate, Starling lets you re-paper the account in place; most others require a fresh application.
Choose by bookkeeping needs. If your accountant uses FreeAgent, Mettle and NatWest bundle it free, around £14.50 a month saved. If invoicing matters more than accounting, Tide’s built-in invoicing removes a subscription. For minimal admin, Starling.
The moment it matters is 31 January: a bank that already categorises your transactions saves you a weekend, and one that doesn’t costs you one.
How to Switch Sole Trader Bank Accounts
Sole traders usually switch for one of three reasons: the account stopped fitting how the business grew, a better product appeared, or a free period ended. The steps below move you across without dropping a client payment or an HMRC direct debit.
- Check CASS support. Confirm both the old and new providers offer the Current Account Switch Service. If either doesn’t, plan a manual migration instead.
- Move direct debits. Redirect HMRC, software subscriptions, and supplier standing orders. CASS moves these automatically; a manual switch needs a checklist.
- Update client payment details. Send your new account details to anyone who pays you by bank transfer, and update invoices and payment links.
- Keep the old account open. Leave it open for at least 60 days so any missed redirection or stale client detail still lands somewhere.
- Reconcile both accounts. For the first month, check both so any bounced or misdirected payment shows up and can be chased.
| Provider | Supports full CASS? |
|---|---|
| Starling | Yes |
| Monzo | Yes |
| NatWest | Yes |
| Tide | No (manual migration) |
| Mettle | No (manual migration) |
| Zempler | No (manual migration) |
| ANNA | No (manual migration) |
| Revolut | No (manual migration) |
| Verified 14 June 2026. | |
Traditional-bank startup periods revert to a monthly fee automatically. Set a reminder two months before your free period ends and start the switch then, not on the day fees begin. Most CASS switches complete within seven working days.
Frequently Asked Questions
Do sole traders legally need a business bank account?
HMRC doesn’t legally require sole traders to hold a separate business bank account. You can use your personal account for business transactions. However, mixing personal and business money makes self-assessment harder, increases the risk of missing deductible expenses, and raises questions if HMRC conducts a compliance check. Most accountants recommend a separate account, and free options (Starling, Mettle, Tide free) remove the cost argument.
Which sole trader bank account is free?
Starling and Mettle are free with no monthly fee and no per-transaction charge. Tide’s free plan has no monthly fee but charges 20p per transfer after the first five each month. Monzo’s Lite plan is free. Revolut’s entry Basic plan now costs £10 a month, and NatWest is £5 a month after a 12-month free period for startups. For a genuinely free account at any volume, Starling and Mettle are the cleanest picks.
Which accounts don’t require a Companies House number?
All eight accounts on this page accept sole traders without a Companies House registration. You apply with your National Insurance number, UTR, and photo ID instead. Providers that require a company registration number (such as Airwallex) are excluded from this comparison. If a provider asks for a company registration during your application, it isn’t designed for sole traders.
Can I use a trading name as a sole trader?
Yes, with some providers. ANNA and Mettle are built around self-employed people and accept a trading name such as “Smith Plumbing” on the account. Most other providers open the account in your personal name and let you add a trading name in-app where supported. As a sole trader you can trade under a business name without registering it, provided it isn’t misleading and doesn’t imply you’re a limited company.
Can sole traders get a business bank account overdraft?
Overdraft facilities for sole traders are limited. Starling offers an overdraft subject to individual eligibility, assessed through the app. NatWest offers overdrafts to sole traders, though approval depends on your credit profile and trading history. Tide, Revolut, Mettle, ANNA, and Monzo don’t currently offer business overdrafts. If you need a borrowing facility alongside your current account, a business credit card is usually the more accessible route. Several providers approve sole traders with limited trading history.
Are sole trader bank accounts FSCS protected?
Not all of them. Starling, NatWest, Mettle (via NatWest), and Zempler are FSCS protected up to £120,000 per banking licence. Tide (new accounts via ClearBank) is also FSCS protected; Revolut, Monzo Business Lite, and ANNA operate as e-money institutions, so funds are safeguarded but not covered by FSCS. For cash reserves above £10,000, FSCS protection materially matters.
How we reviewed sole trader bank accounts
Ranking criteria. We rank accounts on five factors: true monthly cost at realistic volumes, eligibility, accounting and tax tools, deposit protection, and opening speed. Cost and protection carry the most weight, because they matter to every business and rarely shift with preferences.
How we tested. We opened accounts with the providers that let us and ran each app through the jobs a sole trader actually does: raising an invoice, categorising a payment, checking a tax estimate.
We checked every fee against the provider’s current pricing in June 2026, and cross-checked the FCA register for regulatory and deposit-protection status.
Update cadence. We re-verify every provider on this page at least monthly, and whenever a provider changes pricing, eligibility, or terms. The verification date at the top reflects the most recent full review. Some links on this page are affiliate links, see our editorial policy.