Digital challenger Tide is set to co-invest at least £60m in the UK over the next five years.
In partnership with next-generation clearing bank ClearBank, Tide is aiming to take at least an 8% market share of the UK business banking sector by 2023 (it claims it currently has a 1.2% share).
This funding will match the £60m awarded to ClearBank by Banking Competition Remedies Ltd as part of the RBS Alternative Remedies Package.
The investment commitment in the UK market will build on the growth Tide has seen since it started operating two years ago.
It will be used to drive awareness of the Tide brand and overcome switching friction.
Tide will also be launching new products and services, including payroll tools, expense cards and multi-business banking.
Oliver Prill, CEO at Tide (pictured above), said: “This new investment plan will help Tide accelerate its strategy to capture a significant share of the SME banking market.
“It will allow us to reach our goal of becoming the leading business banking challenger in the UK.
“We want to create a genuine scale challenger to the oligopoly that has dominated and failed SMEs for too long.
“SMEs should have the option of a dedicated and focused banking partner that will help them grow their business.”
Tide has planned Series B and C investment rounds in the next two years.
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