1. Atom Bank
With barriers to entry coming down fast startup, digital-only banks are starting to get their licences. Atom is one of the first, receiving its licence in June 2015 and launching services through its mobile app in April 2016.
Based in Durham, Atom Bank is marketing itself to young, internet savvy users tired of traditional banks. The website, branding and marketing is both cuddly and slick.
Atom Bank started providing two year fixed rate residential mortgages through selected independent advisers in December 2016, joining its two Fixed Saver accounts and SME business lending product. Customers can track any changes to their mortgage progress after receiving a decision in principle (DIP) through the Atom app. Current accounts are due to be added later this year.
The bank was founded by Anthony Thomson who co-founded Metro Bank and the CEO is Mark Mullen, formerly of First Direct, so there is banking pedigree at the top level of Atom Bank.
Atom Bank has raised an eye popping £234 million in capital so far, including a reported £100m venture round in February 2017. Existing investors include hedge fund Toscafund, Neil Woodford, and Spanish bank BBVA.