Allica Bank Hits £100 Million Interest Milestone and Enhances Broker Referral Portal

Allica Bank has integrated its Business Rewards Account into its Introducer Portal, enabling commercial finance brokers to refer clients for deposit products directly. This expansion of the bank’s intermediary strategy, combined with surpassing £100 million in interest payments to business customers, highlights a growing trend of challenger banks using broker networks to challenge incumbent SME deposit holdings.

What was announced

Allica Bank has updated its digital Introducer Portal to allow brokers to submit applications for the Business Rewards Account on behalf of their clients. This functionality builds upon a referral scheme originally launched in June 2025. Under the terms of the program, brokers on Allica’s panel are eligible for a £400 payment if a referred client maintains a minimum balance of £50,000 for at least 28 days. This incentive increases to £600 for clients who maintain balances exceeding £150,000.

The update coincides with Allica reaching a milestone of £100 million in total interest paid to customers through the instant-access Savings Pots linked to the Business Rewards Account. Notably, more than half of this total has been distributed during 2026. The bank’s standard Savings Pot offers a rate of 2.83% AER, which Allica’s internal analysis of six major banking providers suggests is more than three times the market average of 0.80% AER for a £75,000 deposit. With conditional and time-limited boosts, the maximum advertised rate currently reaches 4.08% AER.

For businesses already engaging with the bank for credit, Allica offers a 0.5% discount on the interest rate margin for lending products if the client opens a Business Rewards Account. This integrated approach is designed to support brokers who are increasingly managing the broader financial requirements of established businesses beyond simple capital raising.

"Established business owners are increasingly relying on their broker to play a more strategic role, especially when it comes to the broader banking market. We believe brokers should be recognised for this support, in the same way as they would if they’d helped their client secure funding, so we’re pleased to make it even easier for them to do so."

Nick Baker, Chief Commercial Officer at Allica Bank

The companies involved

Allica Bank is a UK-based challenger bank that focuses specifically on the "missing middle"—established small and medium-sized enterprises with 10 to 250 employees. Since gaining its banking licence, Allica has positioned itself as a technology-led alternative to high-street banks, which it claims often underserve this segment of the market. The bank has a significant presence in the fintech sector, with 88 previous reports by FF News documenting its growth and product launches. Its strategy involves combining a proprietary digital platform with local relationship managers to provide commercial mortgages, asset finance, and business savings.

Sirius Group is a commercial finance brokerage that partners with lenders like Allica to secure funding and banking services for business clients. Chris Field, a Director at Sirius Group, noted that the integration of day-to-day banking into the broker workflow provides a more holistic service for SMEs, particularly when lending discounts are attached to account openings.

What FF News has reported before

Allica Bank has maintained a high volume of activity throughout late 2026. In October, the bank announced it would Boost Property Development Exit Finance Following Autumn Budget to support developers. This followed a technological partnership where Allica Bank Partnered with Adclear to Automate Marketing via AI Compliance Engineering. Earlier in the year, the bank highlighted socio-economic concerns, as Allica Bank Warned UK Established SMEs Are Vanishing in Rural Areas. Additionally, the lender supported the property sector by Extending its Commercial Mortgage Fee Waiver Until End of 2026.

What this means

This move signals a strategic shift in the SME banking landscape, where the broker is no longer just a gatekeeper for debt, but a primary driver of deposit liquidity. By incentivising brokers to move client cash, Allica is directly attacking the "inertia profit" that high-street banks rely on from low-interest business current accounts. This puts significant pressure on incumbent banks to justify their low savings rates as the cost of broker-led migration becomes more visible. The industry must now consider whether the traditional "sticky" nature of SME deposits is permanently eroding as digital platforms make switching and referring more seamless for intermediaries.