Santander has launched a switching offer that could pay eligible customers a £240 cash bonus in the New Year, along with access to a linked savings account paying eight per cent interest.
The incentive applies to customers moving to the bank's Everyday Current Account, which has no monthly account fee. The promotion was highlighted in the latest MoneySavingExpert guide to the best current accounts, updated on October 29. The website, founded by consumer champion Martin Lewis, described it as the biggest upfront cash switching bonus of 2026 for a fee-free current account.
How to qualify for the Santander £240 bonus
Customers must open a Santander Everyday Current Account and request a full switch from an eligible account held with another banking group. Within 60 days of starting the switch, they must complete the switch using the Current Account Switch Service, pay at least £1,500 into their Santander current account, have at least two qualifying household Direct Debits, and deposit at least £200 into a linked Santander Regular Saver account.
The £1,500 does not need to be deposited in one payment, while the Regular Saver requirement can be met using an existing eligible account or by opening a new one. Qualifying household Direct Debits include payments for energy, water, Council Tax, broadband, mobile phones and certain television services.
Santander launched the promotion on October 27 and has not announced a closing date. Customers who start switching now could receive their £240 payment in the New Year, provided they meet all the eligibility requirements. Santander will assess whether customers have met the conditions after 60 days and pay the £240 within the following 30 days.
Who is eligible for the offer?
The promotion is subject to restrictions on existing and previous Santander customers. Applicants must not have held a Santander current account on January 1, 2026, or previously received a Santander switching bonus. Customers moving from Cahoot or Cater Allen accounts are also excluded.
Joint accounts are eligible, but only one £240 payment is available per qualifying account. Customers must continue to meet the relevant account conditions when Santander assesses their eligibility.
Savings account details
The Santander Regular Saver allows customers to deposit up to £200 each month for 12 months, with interest currently paid at eight per cent variable. MoneySavingExpert estimated that someone depositing the maximum amount each month could earn around £104 in interest over the year, although the rate is variable and could change. The savings account is separate from the £240 switching bonus, meaning eligible customers could benefit from both.
MoneySavingExpert advised customers to check all the requirements before switching, as failing to complete any of the necessary steps could mean losing the cash incentive. Recurring payments made using a debit card, including some subscriptions, may need to be updated separately. Customers can find the full eligibility criteria through Santander's switching information, while the latest comparison of banking incentives is available on MoneySavingExpert.
