Santander is ending its practice of sending customers an annual statement detailing fees charged over the past 12 months, such as overdraft charges or foreign transaction fees. The change takes effect from August, with the bank directing customers to monitor fees through online or mobile banking.
The yearly statement of fees, which also shows any interest earned, has been a key tool for customers to track costs like the standard variable rate of 39.94% for arranged overdrafts on Santander current accounts. Regular bank statements will continue to display fees and charges.
New 8% Regular Saver Account
In positive news, Santander recently launched a regular saver account offering 8% interest, including a 5% bonus for the first 12 months. After that, the rate drops to 3%. The rates are variable and subject to change.
Customers can save up to £200 per month, potentially accumulating £2,504 after one year (including interest) and £5,018 after two years. Withdrawals are allowed without penalty but must be transferred to a Santander current account. The account is exclusive to Santander current account holders.
AI-Driven Cost-Cutting Plans
The move comes as Santander's Spanish parent, Banco Santander, announced plans to cut costs by over 500 million euros (£433 million) by accelerating AI adoption. The group aims for more than 1 billion euros (£860 million) in extra revenues and cost savings from AI by 2028, with over half from cost-cutting.
Savings are expected through automation, productivity gains, and process simplification. The bank has not disclosed job impacts or announced a workforce reduction programme linked to AI.
