Three new banks set to launch in Britain in 2024

There are some potential financial institution launches within the pipeline for 2024 and savers might see three new banks coming to the market subsequent 12 months, a banking insider says.

At a time when fixed-rate bonds are being lower, certainly one of them might begin off by launching fixed-rate bonds.

These are the three banks which might launch in 2024 and what they may supply.  

Lift off: Three new banks might launch in 2024, two have already got authorisation whereas one is hoping to obtain it in 2024

Alba Bank

Scotland-based Alba Bank first launched in 2015. It was authorised and acquired its banking licence in March of this 12 months. The financial institution will assist small and medium enterprises in Scotland.

The financial institution hoped to lastly start buying and selling by the tip of this 12 months. Now, James Blower predicts that savers might see it enter the market within the first half of 2024.

He says: ‘Alba Bank is authorised with restrictions and could enter the market in the first half of next year. Expect it to launch initially with fixed-rate bonds.’

What? Fixed-rate bonds

When? First half of 2024

Alba Bank could launch in the first half of 2024

Conister Bank

Conister Bank became the first Isle of Man bank to secure a licence to take deposits in the UK.

It was given the green light by the FCA and Prudential Regulation Authority in October this year and now it could launch in the first half of 2024.

Conister is the Isle of Man’s longest established neighborhood financial institution, launched in 1935.

It has been energetic within the UK for plenty of years and at present lends about £350million to UK small and medium enterprises every year.

When: First half of 2024

Conister Bank might launch within the first half of 2024 

Bevan Money

Bevan Money goes by means of the method of turning into an authorised UK financial institution having submitted a full banking licence software in May 2023.

It began the method of turning into an authorised financial institution through the first lockdown of 2020 and it goals to supply merchandise designed to assist public sector staff in 2024.

James Blower thinks it can acquire authorisation with restrictions within the New Year and enter the market by the tip of 2024.

When: By finish of 2024

Bevan Money might launch on the again finish of 2024 as soon as it receives a banking licence

Would your cash be protected with these banks?

As for whether or not your hard-earned nest eggs could be protected with certainly one of these banks, so long as any deposits are inside the Financial Services Compensation Scheme (FSCS) restrict of £85,000 per particular person, your cash is protected even when certainly one of them goes bust.  

As Alba Bank and Conister Bank have a banking licence, any cash held there could be protected as much as £85,000 underneath the FSCS scheme. 

If Bevan Money receives a banking licence as anticipated, any cash stored there would even be protected as much as £85,000. It will be unable to take deposits and not using a banking licence.

James Blower says: ‘The new banks may have FSCS safety so savers can be protected so long as they stick inside the FSCS limits.’