Major update for millions as NatWest takes on supermarket bank customers – how it affects you
NATWEST will take on millions of Sainsbury’s Bank customers from today after it secured approval for the transfer from the High Court last month.
All of Sainsbury’s Bank’s credit cards, personal loans and savings accounts will be gradually transferred to NatWest in a process that will begin today.
The transfer will be completed by the end of the year.
But insurance and travel money services provided by Sainsbury’s Bank will remain unchanged.
Sainsbury’s announced plans to wind down its retail banking division in January 2024 so it could focus more closely on its core retail operations.
NatWest agreed to buy the supermarket bank in June last year.
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Then in August Sainsbury’s Bank pulled its credit card and loans for new customers ahead of the takeover.
The bank stopped accepting new savings account customers in March 2025.
The transfer was subject to High Court approval, which was granted on April 16.
As a result, the transfer will go ahead, although there will be no immediate changes for customers.
What does it mean for me?
There will be no immediate changes to how you use and access your account.
You can still manage your money via the Sainsbury’s Bank website, app and online banking.
You can still collect Nectar points with your credit card and the system to do so will be unchanged.
Your personal loan repayment, date, amount and rate will also be unchanged.
If your account is in arrears then any agreement you have in place about repayment of debt, for example repayment plans, will continue on your existing account.
You should keep making any payments you have agreed to.
HISTORY OF SAINSBURY'S BANK
SAINSBURY'S Bank, founded in 1997, started as a joint venture between J Sainsbury PLC and Bank of Scotland, a subsidiary of Lloyds Banking Group.
The supermarket took full ownership of the business back in 2014 for £248million.
However, six years later, new (and remaining) chief executive Simon Roberts announced the supermarket would embark on a "food first" strategy to refocus on its core retail offering and improve returns.
Last summer, Sainsbury's Bank offloaded its £479million mortgage book to Co-op Bank.
The bank has about 1.9 million active accounts and offers a range of banking products to retail customers only, including credit cards, savings, personal loans, general insurance and travel money.
It also operates a network of ATMs and in-store travel bureaux.
In June 2024, NatWest announced a deal to purchase Sainsbury's Bank.
Sainsbury's Bank will pay out £125million to NatWest and £250million to Sainsbury's as part of the agreement.
NatWest will let you know if any changes need to be made to your support arrangements in the future.
You will be given at least 60 days’ notice of any upcoming changes to your account.
NatWest will also become the Isa manager for all Sainsbury’s Bank Isas from today.
But your account will still function as normal despite the change in Isa manager.
If you have Isas with Sainsbury’s Bank and NatWest or Ulster Bank then the accounts will continue to be separate and you can still contribute to them within the £20,000 Isa allowance.
The Bank has written to its Isa customers to give them more details about what the Isa transfer means for them.
From today Sainsbury's Bank savings accounts will be transferred to NatWest and will become NatWest savings accounts.
If you have an issue with your account or you need extra support then you should still contact Sainsbury’s Bank.
You should do so if you want to make a new complaint, check up on an existing one or speak to them about a dispute or claim.
You can speak to Sainsbury’s Bank customer service by calling 0808 540 5060.
What happens when my account is moved to NatWest?
Your account should be moved to NatWest systems towards the end of this year.
Once this happens you will not be able to use Sainsbury’s Bank’s online banking and mobile app to access your account.
You will need to take some steps to access your account using NatWest’s online banking and mobile app.
NatWest will be in touch with you with instructions on what you need to do.
You may need to take action even if you are already a NatWest customer.
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Where possible your new account will be the same as your existing one.
This will include the overall amount of interest charged for credit cards, the amount of interest earned for savings and any promotional offers.
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