Tesco Bank
Tesco Personal Finance plc
Industry Finance and insurance
Predecessor Tesco Personal Finance
Founded 1997; 21 years ago (1997)
Headquarters Edinburgh, Scotland, UK
Key people
Benny Higgins, CEO
Products Finance and insurance
Credit Cards
Revenue Increase £1.075 billion (2013/14)[1]
Increase £194.6 million (2013/14)[1]
Increase £8.605 billion (2013/14)[1]
Number of employees
2,818 [2]
Parent Tesco
Subsidiaries Tesco Compare
Website www.tescobank.com
Footnotes / references
Tesco purchase of RBS stake completed 2008 Q4

Tesco Bank is a British retail bank which was formed in 1997, and which has been wholly owned by Tesco plc since 2008. The bank was formed as part of a 50:50 joint venture between The Royal Bank of Scotland and Tesco, the largest supermarket in the United Kingdom. Tesco later acquired Royal Bank of Scotland shareholding, which resulted in the bank becoming a wholly owned subsidiary, and now operates under its own banking licence under the Financial Services Compensation Scheme.[3]

The bank offers a range of insurance, credit cards, loans, savings, mortgages and travel products, and launched a current account in June 2014. A unique selling point of Tesco's banking products is that the bank is able to leverage its large customer base to cross-sell financial services products, as customers can accumulate Tesco Clubcard points when they purchase finance products.

Tesco Bank came third in the British Bank Awards, with an average customer satisfaction of 87.8%. [4] As of February 2014, the bank has around seven million customer accounts and policies.[5]


Prior to the formation of Tesco Personal Finance plc, Tesco had a banking joint venture with NatWest, which ended in February 1997.[6] TPF was formed in July 1997 following the successful launch of Sainsbury's Bank by its main competitor, Sainsbury's. The bank was launched as a joint venture with the Royal Bank of Scotland, which processed all its financial transactions.[7]

Subsidiary companies of the Royal Bank, such as Direct Line, UKI and Lombard Direct helped Tesco Personal Finance provide insurance products. In July 2008, Tesco announced that they were buying out the Royal Bank of Scotland's 50% stake in the company for £950 million, and the transaction was completed later that year.[8][9] In October 2009, Tesco Personal Finance was renamed Tesco Bank.[10]


Tesco Bank provides a range of personal accounts, including current accounts, mortgages, credit cards, loans, savings accounts, insurance and foreign currency exchange. Mortgages were added in August 2012,[11] after briefly offering products provided by First Active in 2004.[12] The bank confirmed in December 2013 that it planned to launch a current account,[13][14] and the first account was launched on 10 June 2014.[15]


The bank is registered in Scotland at 2 South Gyle Crescent, Edinburgh EH12 9FQ. While operating as a joint venture, the bank shared its registered office with RBS at St Andrew Square, Edinburgh. In July 2010, Tesco Bank opened two major offices at Quorum Business Park in Newcastle, and a larger one at Broadway One in Glasgow. Since then, there has also been an office opened in South Gyle, Edinburgh. Tesco Bank software is developed at its headquarters in Edinburgh, and also Bengaluru campus in the Indian state of Karnataka.

During 2009, Tesco initiated a plan to roll out in store branches, under the Tesco Bank branding.[16][17] On 14 May 2016, Tesco Bank closed all three remaining branches, with a focus on being a completely online bank.

In addition, there are over 270 Tesco Travel Money Bureaux, an in-store bureau de change, managed by a joint venture with Travelex.[18]

Fraud incident 2016

On 6 November 2016, British newspapers reported that customers of Tesco Bank were reporting that hundreds or in some cases thousands[] of pounds had been lost from their accounts, with some reporting unauthorised card transactions originating in Brazil.[]

The following day, the bank suspended online transactions, and made a statement saying up to 40,000 customers had been affected.[19] Shares in the retails group fell 3% on the news.[] On Tuesday 8 November, the chief executive of the UK Financial Conduct Authority was asked for a summary of the issue by a Parliamentary committee and said of the attack that "There are elements of this that look unprecedented and it is serious, clearly".[20]


  1. ^ a b c "Tesco Personal Finance Plc (Tesco Bank)" (PDF). Investec Capital Markets. 2012. Retrieved 2013. 
  2. ^ "Annual Review and Summary Financial Statement 2012" (PDF). Tesco PLC. 2012. Retrieved 2013. 
  3. ^ "Bank Licence List - Investor Protection Compensation Scheme (Revised July 2013)". Financial Advice.net. 2013. Retrieved 2013. 
  4. ^ "British Bank Awards". Tesco Bank Twitter. 2016. Retrieved 2016. 
  5. ^ "Tesco Bank reaches 7 million accounts". Tesco Bank press release. Tesco Bank. Retrieved 2014. 
  6. ^ Rodgers, Peter (14 February 1997). "Tesco cuts NatWest tie to link with Royal Bank". The Independent. Retrieved 2013. 
  7. ^ "Annual report and financial statements 1998" (PDF). Tesco PLC. 1998. Retrieved 2013. 
  8. ^ "Tesco Pays £950m To Become Bank". Sky News. 28 July 2008. Retrieved 2008. 
  9. ^ Thelwell, Emma; Butterworth, Myra (28 July 2008). "Tesco eyes mortgages and current accounts in plan to take on UK's high street banks". The Telegraph. Retrieved 2008. 
  10. ^ "Tesco Bank to offer current accounts and mortgages". The Telegraph. 6 October 2009. Retrieved 2009. 
  11. ^ "Tesco Bank will offer mortgages". BBC News. 4 August 2012. Retrieved 2013. 
  12. ^ Murray-West, Rosie (4 August 2012). "Tesco Bank finally launches first range of mortgages". The Telegraph. Retrieved 2013. 
  13. ^ "Tesco Bank Creates 300 Scottish Jobs as Lender Eyes Current Account Launch". International Business Times UK. 2013. Retrieved 2013. 
  14. ^ "Tesco's Bank Adds Checking Accounts, 300 Employees". The Wall Street Journal. 2013. Retrieved 2013. 
  15. ^ "Tesco enters battle for current accounts". BBC News. 10 June 2014. Retrieved 2014. 
  16. ^ "In-store 'Tesco Bank' branches planned". Which?. 30 March 2009. Retrieved 2013. 
  17. ^ Bradshaw, Tim (29 March 2009). "Tesco to open bank branches in its stores". Financial Times. Retrieved 2009. 
  18. ^ "Travel Money In Store". Tesco Bank. 2013. Retrieved 2013. 
  19. ^ "Tesco Bank Freezes Accounts in Attack Investigation". Info Security. 2016. Retrieved 2016. 
  20. ^ "Tesco Bank cyber raid 'unprecedented', says financial regulator". The Guardian. 2016. Retrieved 2016. 

External links

  This article uses material from the Wikipedia page available here. It is released under the Creative Commons Attribution-Share-Alike License 3.0.



Connect with defaultLogic
What We've Done
Led Digital Marketing Efforts of Top 500 e-Retailers.
Worked with Top Brands at Leading Agencies.
Successfully Managed Over $50 million in Digital Ad Spend.
Developed Strategies and Processes that Enabled Brands to Grow During an Economic Downturn.
Taught Advanced Internet Marketing Strategies at the graduate level.

Manage research, learning and skills at defaultLogic. Create an account using LinkedIn or facebook to manage and organize your Digital Marketing and Technology knowledge. defaultLogic works like a shopping cart for information -- helping you to save, discuss and share.

Visit defaultLogic's partner sites below:
PopFlock.com : Music Genres | Musicians | Musical Instruments | Music Industry
NCR Works : Retail Banking | Restaurant Industry | Retail Industry | Hospitality Industry

  Contact Us