Starling Bank
Starling Business is a free UK business account built for sole traders, freelancers and limited companies who want a proper bank rather than an e-money institution — with all the features most self-employed people actually use.
The standard GBP account has no monthly fees, no charges for UK payments, and full FSCS deposit protection up to £120,000. You get real-time transaction notifications, spending categorisation, invoicing (via the £7/month Business Toolkit), and 24/7 human customer service that’s genuinely responsive.
The most useful recent update: Starling’s Making Tax Digital tools are now built into the sole trader account for free. HMRC-recognised software for storing digital records, sending quarterly updates, and submitting your annual tax return — all without paying for a separate bookkeeping app.
Eligible balances earn up to 2.5% interest, which isn’t going to change your life but is more than any other free business account offers.
Worth knowing before you switch: cash deposits are limited to £5,000 per day and £20,000 per year, with a £3 or 0.7% charge (whichever is higher). If your business handles significant cash, Starling isn’t the right fit.
Best for: Sole traders and limited companies who want a proper UK bank with genuinely useful features built in — and who don’t handle much cash.
The offer: Standard Starling Business account is free to open. No monthly fees, no charges for domestic payments, FSCS protection up to £120,000. Business Toolkit add-on available at £7/month if you want invoicing and receipt capture.
Related Deals:
You might also be looking at:
- Mettle – another free option, backed by NatWest, sole trader focused
- Tide – free e-money account with £20 Club member cash back
- Wise Business Banking – the option if you get paid in foreign currencies
- Coconut – if you want deeper bookkeeping features than Starling’s built-in tools