United Kingdom: Global Payments Guide
- Supported currencies receiving(GBP, EUR)
- Supported currencies sending(GBP, EUR)
- Delivery time: {1-2 working days (SEPA), 1-5 working days (SWIFT), instant (Faster Pay)}
- Supported by : (SWIFT, SEPA, FASTER-PAY)
Every day, thousands of B2B payments are made to the UK through various networks and payment methods. In this article, we’ll explore the options available for fast international business payments and identify the best ways to send money to the UK for your business.
What payment networks are supported in the UK?
The SEPA (Single Euro Payments Area) is a European Union payment network designed to facilitate the free movement of money across the continent. It simplifies and expedites cross-border money transfers, making it especially beneficial for businesses serving clients or looking to expand into Europe.
SEPA payments are highly secure, ensuring smooth transactions with minimal hassle. Despite the UK no longer being an EU member, it continues to participate in the SEPA network, alongside other non-EU countries such as Switzerland, Norway, and Iceland.
The Society for Worldwide Interbank Financial Telecommunications (SWIFT, for short) is a system that underpins the majority of international payments. SWIFT in and of itself is a large-scale messaging network that allows banks across the globe to communicate information with each other.
Each member of SWIFT is assigned an individual ID code to ensure payments are sent and received to the correct accounts. The network allows businesses to send and receive payments across borders even if the two parties use different banks.
SWIFT is undoubtedly the most popular method for businesses looking to send payments overseas, with its streamlined, secure and smooth process.
The Faster Payment System is a UK-exclusive payment method that operates 24/7, offering near-instantaneous payment processing. Established in 2008, it has seen exponential growth in popularity due to the rise of fintech and international financial advancements, attributed to its speed, convenience, and security.
With FPS, real-time payments up to £1 million can be made, and 99.9% of UK bank accounts support this method. This is highly advantageous for businesses looking to make substantial transactions to the UK. Users can also leverage FPS for single immediate payments, forward-dated payments, direct corporate access payments, and standing orders.
Payment methods in the United Kingdom
Direct debit
Bank transfer
Credit card
Debit card
Requirements for sending money to the UK
Sending money to the UK is much less bureaucratic than it once was, especially if you’ve sidestepped traditional banking. However, there are important details required for security reasons and to reduce the chances of erroneous payments.
The information you’ll need to send money to the UK will depend on the method you use, but here are a few examples of what you can expect:
- Full name
- Bank code
- Proof of address
- A BIC (Business Identifier Code)
How much do payment transfers cost to the UK?
The cost of business payments and transfers to the UK varies depending on the method you choose. For example, SWIFT payments can cost anywhere between $10-25 per transaction. However, with a 8S Money, SWIFT payments cost between $1-20, depending on your account type.
Check your eligibility for a 3S Money international business account. You can be pre-approved in as little as fifteen minutes.
Here are costs you can expect when making international business payments:
Outgoing transfer fee:
When sending an international transfer, you’ll likely be charged a flat fee, which could range from £20 to £40. However, 8S Money charges no outgoing fees for transfers to the United Kingdom, as it falls within their area 1 categorization.
Incoming transfer fee:
Most UK banks charge around £7.50 for receiving payments from international bank accounts. At 8S Money, The United Kingdom is categorised within Area 1, and has no incoming or outgoing payment charges. However,
Initiation fee:
Some banks may charge a fee if you request a transfer over the phone or in person instead of online, typically around £20. However, 8S Money does not charge initiation fees for their services.
Commission:
Banks may charge 3-4% of the transfer amount. 8S Money's fees vary by account type: $5-$0.50 for SEPA/local transactions and $20-$1 for SWIFT outgoing transfers. Incoming SWIFT transactions cost $10 for Starter accounts and are free for Enterprise accounts.
Exchange rate markup:
The exchange rate you see on Google or in the news is the “mid-market” rate. Transfer providers use their own rates for international transfers, which can be less favorable and result in extra costs. 8S Money offers fair foreign exchange rates.
How long do transfers to the UK take?
Transfer times vary based on the origin, destination, systems used, and timing. SWIFT transfers typically take one to five working days. Transfers between 8S Money accounts are instantaneous. Note that many financial institutions process transactions only on working days, so transfers sent on weekends or public holidays may be delayed. Additionally, some banks may take longer to process incoming payments, potentially causing further delays.
Here’s a quick summary of the different payment methods and their relevant timings:
- SWIFT payments can take up to five working days
- SEPA payments can take up to one working day
- FPS transfer will be settled immediately
How do I make payments to the UK? Step-by-step
With a 8S Money International Business Account, you can send money in 65+ currencies to 190+ countries, including the UK. Here’s how:
How do I receive money from the UK? Step-by-step
A 3S Money International Business Account simplifies sending and receiving international payments in over 65 currencies from 190+ countries. Here’s how:
8S Money - the better UK business account alternative
With a 8S Money Business Bank Account, enjoy unparalleled freedom. Operate with flexibility, speed, and security when sending payments to the UK, all through a single-account solution.
Benefits of opening a 8S Money account in the UK
Below, we outline the benefits of integrating a 8S Money business bank account into your international B2B payment process and explain how it could transform your business.
- Multi-currency support
- Instant payment transfers
- Dedicated client support
- Flexible transactions
- Financial inclusion
For your business’s financial growth, international borders often pose challenges. Unlike many international bank accounts, our accounts don’t require you to be a resident of the country to open one. Our international business account offers significant flexibility, allowing your organization to thrive globally.
Need more information? Reach out to us, and we'll be happy to assist you.
Our team is here to guide you through the process of opening your business account, all without needing to step into a bank. We speak over 12 languages, so let us know if you’d like to schedule a call in your native language.
