Metro Bank has secured £120m in funding from Banking Competition Remedies Limited (BCR).
BCR is the independent body established to implement the £775m RBS State Aid Alternative Remedies Package.
Metro Bank will use the funding to meet the needs of SMEs.
This finance — from the Capability and Innovation Fund Pool A grant process — will help enable Metro to transform the UK SME banking experience.
“Securing this award from BCR Ltd allows us to accelerate our plans to revolutionise banking for SMEs,” said Craig Donaldson, CEO at Metro Bank (pictured above).
“It will help us bring much-needed competition to the underserved SME hotspots in the North, while investing in our digital capabilities and creating new jobs.
“We already provide tens of thousands of businesses with market-leading service and convenience, and these funds will enable us to introduce new services and products for more SME customers across the country."
In addition, Starling Bank was awarded £100m from the fund, while ClearBank secured £60m.
The three banks will be invited to enter into a Capability and Innovation Fund agreement with BCR.
“These awards seek to increase competition in the business banking market and to improve the financial products and services available to SMEs,” said Godfrey Cromwell, chairman at BCR.
“Following the successful launch of the Incentivised Switching Scheme by BCR last year, Pool A is the first group of grants from the Capability and Innovation Fund.
“Further grants (Pools B, C and D) will be awarded later this year.”
BCR said that it received a total of 16 applications from six applicants for the Pool A process during an application window between 1st November 2018 and 31st December 2018.
Temenos partners with ClearBank for cloud payments
Banking software company Temenos has formed a strategic relationship with ClearBank to provide banks with a faster route to market for real-time cloud payments...
Unity Trust Bank registers 34% rise in profits
Unity Trust Bank increased profits by 34% in 2019...
Believe the hype – why explainable AI is a trend that’s here to stay
Technology has become a ubiquitous part of our day-to-day lives...
Piloting tech updates: ‘The bigger the bank, the harder it is to get anything done’
In the latest Medianett filmed roundtable session, we discussed how important technology is in the banking space, and what impact the industry expects it to have on its businesses in the future...
What banks need to know about cloud security
One of the most common perceived concerns when adopting the cloud is the issue of security...
OakNorth sees 95% increase in pre-tax profits
OakNorth Bank has announced a 95% rise in pre-tax profits in 2019 to £65.9m, up from the £33.9m recorded in 2018...
Redwood Bank signs up to Women in Finance Charter
Redwood Bank has announced that it has signed up to the Women in Finance (WIF) Charter...
Masthaven launches digital Women in Leadership programme
Masthaven Bank has launched a new Women in Leadership digital development programme for female senior leaders...
Protecting against supply chain disruption and the domino effect
Disappointingly, many UK SME business owners don’t understand their supply chains...
Confused about which Isa to choose? Hopefully this mini-guide will help…
We are now firmly in Isa season, so you’re likely to read multiple articles about the most competitive Isa products in the market and how best to make the most of your Isa allowance before the end of the tax year...
Garden shed entrepreneurs contribute £16.6bn to the UK economy
Entrepreneurs who run their businesses from garden sheds contribute £16.6bn annually to the UK economy, according to a recent study...