Monzo Business Report: UK SMEs Lose 53 Minutes Daily to Financial Admin

Monzo Business has released its inaugural Money Moves Report, revealing that while 56% of UK small and medium-sized enterprises (SMEs) remain confident about growth, administrative burdens consume nearly an hour of every working day. For fintech professionals, the data highlights a critical disconnect between rising software expenditure and actual operational efficiency within the small business sector.

What was announced

The Money Moves Report provides a pulse check on the UK’s SME landscape, drawing on data from Monzo’s customer base of over one million businesses. The findings indicate a resilient but pressured sector; while 62% of businesses hope to expand their teams in the coming year, they are navigating significant headwinds. Rising costs were cited by 46% of respondents as a primary barrier to growth, followed by general economic uncertainty at 33% and the tax burden at 26%.

Operational data shows that business spending on essential bills has climbed by 12% over the past year. Interestingly, while spending on software has increased by 15%, 37% of SMEs report spending more time on financial administration than they did a year ago. On average, UK SMEs now spend 53 minutes every working day on tasks such as processing invoices and managing expenses. This "admin burden" is more than a nuisance; 39% of businesses claim it actively prevents them from growing, leading to missed opportunities in hiring (18%), entering new markets (20%), and investing in new equipment or premises (21%).

The report also highlights a gap in the banking market. Only 24% of SMEs believe their bank actively helps them run their business. Consequently, 55% of respondents frequently turn to third-party tools because their primary banking provider lacks the necessary features to manage comprehensive financial workflows. Monzo currently addresses these needs through specific tools including tax pots, invoicing, and payment links, which the bank reports can help businesses secure payments 11 days faster.

"Small businesses are confident about the year ahead and thinking about how they can grow. However, running a business still comes with far too much financial admin, and our research shows that this isn’t simply an inconvenience - it can take time away from growth."

Jordan Shwide, VP, General Manager, Business Banking at Monzo Bank.

The companies involved

Monzo Business is the dedicated business banking arm of Monzo Bank, one of the UK’s most prominent digital "challenger" banks. Since its inception, Monzo has sought to disrupt the traditional banking model by offering a mobile-first experience characterized by transparency and user-centric design. Monzo Business now supports approximately one in six UK businesses, positioning itself as a major competitor to established high-street institutions. The division is led by Jordan Shwide, who serves as VP and General Manager of Business Banking at Monzo Bank. Other key figures within the organization include Leia Karam at Monzo.

The parent company, Monzo Bank, has evolved from a niche prepaid card provider into a full-service clearing bank. Its business offering is designed to integrate financial management directly into the banking interface, moving beyond simple deposit-holding to provide functional utility. By offering features like automated tax savings and integrated invoicing, the company aims to capture the segment of the market that feels underserved by the "holding money" approach of legacy banks. This strategy places them in direct competition with both traditional banks and specialized accounting software providers.

What FF News has reported before

FF News has closely tracked Monzo’s trajectory in the business sector, recently noting a major shift in market share. In July 2026, we reported that Monzo Breaks High Street Monopoly as Business Customers Surpass 1 Million Milestone. This achievement was seen as a watershed moment for the digital banking sector, proving that SMEs are increasingly willing to move away from the "Big Four" banks in favor of digital-native platforms. Our previous coverage highlighted how the bank’s growth was fueled by its ability to simplify complex financial tasks, a theme that is further reinforced by the findings in the new Money Moves Report regarding the demand for streamlined admin tools.

What this means

The "admin gap" identified in this report represents the next major battleground for SME fintech. The fact that software spending is rising while admin time is also increasing suggests that the current tech stack for many SMEs is fragmented and inefficient. For the wider industry, this signals that simply offering a digital interface is no longer a competitive advantage. The market is moving toward a demand for "all-in-one" financial operating systems. Banks that fail to integrate deep accounting and administrative functionality directly into their core platforms risk being relegated to mere "dumb pipes" for capital, while more agile players capture the high-value workflow relationship.