RBS named as one of UK’s worst banks by customers as new fintech firms continue to set new standards

Edinburgh-based RBS placed second last in a poll for Britain’s Best Bank, behind only M&S Bank.

Fellow banking giant Lloyds Banking Group, which includes Bank of Scotland, also performed poorly, with Lloyds Bank and Halifax, as well as previously owned TSB, all dropping four spots from last year.

Bank of Scotland did not feature because with responses from only 60 of its customers it remained under the threshold of 100.

However, based on the limited responses, the bank scored a respectable 82.7 per cent.

Meanwhile, RBS subsidiary Natwest was the only bank to improve its overall position from last year, rising to sixth place, and also takes home “Best Banking App”.

It was banking newcomer Starling Bank that named “Best British Bank”, as a result of the poll run by website Smart Money People, which received over 24,000 responses from UK consumers.

Anne Boden, CEO of Starling Bank, said: “We’re delighted Starling have been awarded ‘Best British Bank’ and ‘Best Current Account Provider’, it is a testament to the team at Starling and the rewards our customers are reaping. Our mission is to empower consumers to take control of their money and manage their finances on their own terms. This goes beyond just traditional current accounts, we want to change the way people manage all of their finances which is why we introduced Marketplace where our customers can access a range of financial products directly from their phone. As we continue to grow, we hope to have 25 partners by the end of 2018 and offer Starling current accounts in 10 countries by 2020.”

However, HSBC’s joint venture with M&S saw its customer satisfaction score plummet from 70.6 per cent in 2017 to 56.3 per cent in 2018, with its current account in particular coming in for criticism from consumers.