Tide vs Monzo Business UK 2026
Deposit protection, plans, invoicing, accounting feeds and cash deposits compared for UK freelancers, with links to check current pricing on each provider's site.
Tide or Monzo Business: which for freelancers?
The biggest structural difference is how your money is protected. Monzo Business accounts are held with Monzo Bank, a UK-authorised bank, so eligible deposits are covered by the FSCS. With Tide, check whether the account you are offered is an e-money account (safeguarded, not FSCS-covered) or a deposit account held with a partner bank. After that, the choice comes down to the features on the plan you would actually use.
Key takeaways
- Both providers accept sole traders and limited companies, and both advertise a free entry plan alongside paid plans.
- Plan names, monthly fees, transfer allowances and cash deposit charges change often. We don't quote them here: check them on Tide's site and Monzo's site before you apply.
- Compare like for like: invoicing, accounting software feeds, multi-user access, cash deposits and tax pots may sit on different plans at each provider.
- If you already bank personally with Monzo, Monzo Business is applied for and run from the same app.
Editorial: Written by FreelanceToolkit UK. Drafted with AI assistance and checked against official sources before publishing. Provider details come from providers' own published pages and can change, so check them before you sign up. This is general information, not financial advice. Editorial policy · Sources & methodology · How we test tools.
In this guide
Tide and Monzo Business both offer app-based business current accounts aimed at freelancers, sole traders and small limited companies. Tide was built for small businesses from the start; Monzo Business extends Monzo's personal banking app. This guide compares them on the factors that matter for a UK freelancer and tells you where to check the details that change: the plans and their prices.
Check current pricing on Tide's and Monzo's own sites
We have removed specific plan prices and fees from this page. Providers rename plans and change monthly fees, transfer allowances and cash deposit charges, and figures copied onto comparison sites go out of date quickly. Before you choose, read the current plan list and fee information on each provider's own website:
- Tide: www.tide.co
- Monzo Business: monzo.com/business
Write down, for each plan you are considering: the monthly fee, what is included (invoicing, accounting feeds, extra cards or users), the free transfer allowance and the charge after it, and the cash deposit charge. Then compare the plan you would actually need, not the cheapest headline plan.
Worked example (no prices)
Worked example: an invoice-heavy sole trader videographer
Marco invoices most clients by bank transfer, occasionally deposits cash from small jobs, and uses accounting software. He lists his needs (around 30 invoices a month, a feed into his accounting software, occasional cash deposits) and checks each provider's current plans against them. On each site he notes which plan includes invoicing, which includes the software feed he uses, how many transfers are free and what a cash deposit costs. He then compares the total monthly cost of the cheapest plan at each provider that covers all three needs. If deposit protection matters more to him than built-in invoicing, he weights that first.
At-a-glance comparison
| Factor | Tide | Monzo Business |
|---|---|---|
| Who provides the account | Tide. Check the account terms: e-money account or a deposit account with a partner bank | Monzo Bank Ltd, a UK-authorised bank |
| FSCS protection | Depends on how the account is held. E-money is safeguarded, not FSCS-covered | Eligible deposits covered up to £120,000 |
| Free entry plan | Yes. Check its current limits on Tide's site | Yes. Check its current limits on Monzo's site |
| Paid plans and prices | Check tide.co | Check monzo.com/business |
| Invoicing, accounting feeds, multi-user | Check which plan includes each | Check which plan includes each |
| Cash deposits | Check where and at what charge | Check where and at what charge |
| Sole traders and Ltd companies | Both accepted | Both accepted |
Decision tree
Answer these questions in order. The first one with a clear answer usually decides it.
- Do you want your business balance covered by the FSCS?
Yes → Monzo Business, or a Tide account that is confirmed in its terms as a deposit account with an FSCS-covered bank. - Do you already use Monzo personally?
Yes → Monzo Business keeps everything in one familiar app. - Do you need built-in invoicing or a feed into your accounting software?
Yes → check which plan includes it at each provider, and compare those plans' prices. - How many payments do you send each month, and do you deposit cash?
Compare each provider's current free transfer allowance and cash deposit charge against your real volumes. - Do you need cards or logins for other people?
Check the multi-user and extra-card options on each provider's current plans.
Sources & official references
Official references used on this page. Provider plans and prices are deliberately not quoted: check them on each provider's own site.
Related on FreelanceToolkit UK
- Tide vs Starling
- Best business bank account UK
- Free business bank accounts
- How to open a business bank account
- Banking Hub
Tide and Monzo Business are two of the best-known UK app-based business accounts. They differ on a structural point that matters: Monzo Business sits with a UK-authorised bank, so eligible deposits are FSCS-protected up to £120,000, while Tide's protection depends on how the account you open is held. Beyond that, both have mobile-first apps, and the right choice depends on which features you need and what the plan that includes them costs today.
Side-by-side: the factors to compare
| Factor | Why it matters | What to check |
|---|---|---|
| Deposit protection | FSCS covers eligible deposits at authorised banks; e-money is safeguarded instead | The account terms and the FCA Register entry for each provider |
| Monthly fee | Free plans suit low volumes; paid plans add features | The current plan list on each provider's site |
| Transfers and payments | Free allowances and per-payment charges can outweigh the monthly fee | The free allowance and the charge after it, on each plan |
| Invoicing | Built-in invoicing can replace a separate tool | Which plan includes it, and whether it suits your invoice volume |
| Accounting software feed | A bank feed into your software saves bookkeeping time | Whether your software (FreeAgent, Xero, QuickBooks, Sage) is supported on the plan you'd pick |
| Cash deposits | Matters if clients pay you in cash | Where you can deposit and the current charge |
| Extra users and cards | Matters once you have staff, a partner or a bookkeeper | Which plans include additional users or cards |
| Tax pots | Setting aside tax and VAT as you're paid avoids surprises | Whether pots or sub-accounts are on the plan you'd pick |
Best for: pick by scenario
- Already a Monzo personal customer: Monzo Business, which you open and run from the same app.
- FSCS protection matters: Monzo Business, or a Tide account whose terms confirm it is a deposit account with an FSCS-covered bank.
- Invoice-heavy freelancer: whichever provider includes invoicing on the cheapest plan that also covers your transfer volume. Check both today.
- Ltd company with staff cards or several users: compare the multi-user options and their plan prices on both sites.
Strengths and things to check
Tide
Strengths
- Built for small businesses from the start
- A range of plans to move up through as your business grows
- Business features such as invoicing and expense tools (check which plan includes each)
Check before you apply
- How your money is held: e-money (safeguarded) or a deposit account with a partner bank (FSCS)
- Which features are on the free plan and which need a paid plan
Monzo Business
Strengths
- Held with Monzo Bank, a UK-authorised bank, so eligible deposits are FSCS-protected
- Familiar app if you already use Monzo personally
Check before you apply
- Which features (invoicing, accounting feeds, extra users) are on which plan
- Whether its accounting integrations cover the software you use
Plans and pricing: how to compare
Both providers offer a free entry plan and paid plans with more features. We don't quote the plan names or monthly prices because they change and earlier versions of this page contained figures we could not verify. To compare fairly, list the features you need, find the cheapest plan at each provider that includes all of them, and add any per-transaction and cash deposit charges at your real monthly volumes. Check prices on Tide's site and Monzo's site on the day you decide.
FSCS and licence structure
This is the structural difference that matters most. Monzo Bank is authorised by the Prudential Regulation Authority and regulated by the FCA and PRA, so eligible deposits are protected by the FSCS up to £120,000 per eligible depositor per bank (the limit since 1 December 2025, per the Bank of England). E-money accounts work differently: the provider must safeguard customer funds, but the FSCS does not cover them if the provider fails. Tide's account terms state how your account is held, and the FCA Register shows how each firm is authorised. For freelancers with small balances the practical difference may be modest; for limited companies building up Corporation Tax or VAT pots, it is worth confirming before you choose.
Mobile app and day-to-day use
Both are app-first. If you already use Monzo personally, Monzo Business keeps the same app and layout, so there is little to learn. Tide's app is built around business tasks. Both providers let you try the free plan, so opening one and using it for a week of real work is the quickest way to see which you prefer.
Integration with accounting and bookkeeping
A bank feed into your accounting software saves time at the end of every month and quarter. Before you choose, confirm on each provider's site that your software is supported, and on which plan. If you have not picked software yet, our accounting software guide and Accounting Hub cover the main options.
Common mistakes when picking
Three common mistakes. First, choosing on the free plan alone, when the features you need (invoicing, pots, extra users, a software feed) may only come on a paid plan. Second, ignoring how your money is protected: e-money is safeguarded but not FSCS-covered, which matters more as your balance grows. Third, relying on prices quoted by third-party sites, including old versions of this one. Always check the provider's current pricing page.
Real UK freelance scenarios
A sole trader copywriter with a low balance and few payments: either provider's free plan may be enough; check the free transfer allowance. A limited company contractor building up Corporation Tax and dividend pots: deposit protection and pots matter, so confirm FSCS cover and which plan includes pots. A small agency with two or three people needing cards: compare multi-user options and their plan prices on both sites. A virtual assistant with very low volumes: either works; pick the app you prefer using.
How to choose between them
Decide on deposit protection first, then list the features you need, then compare the current price of the cheapest plan that covers them at each provider. Both have free entry plans, so you can try the app before paying for anything.
This comparison is editorial. We describe each provider's structure and the factors to check rather than ranking them with scores, and we don't quote prices we can't verify. The right choice depends on your business structure, payment volumes and the software you already use.
Where this fits in the wider stack
This comparison is part of the UK Banking Hub. Related comparisons and deep-dives are linked from there. For the full UK freelance operating stack, see the recommended tools page and the freelance productivity stack guide.
Frequently asked questions
Is Tide a real bank?
Check the terms of the account you are offered. Tide has provided business accounts as e-money accounts, where funds are safeguarded but not covered by the FSCS, and some accounts are held with a partner bank, where FSCS cover can apply. The FCA Register shows how each firm is authorised. Monzo Business accounts are held with Monzo Bank, a UK-authorised bank.
How much do Tide and Monzo Business cost?
Both offer a free entry plan and paid plans. Prices and plan names change, so we don't quote them: check the current pricing on Tide's and Monzo's own websites before you apply.
Which is better for limited companies?
Both accept limited companies. If deposit protection matters, confirm FSCS cover first; then compare which plan at each provider includes the features you need, such as extra users, pots and an accounting feed.
Do both integrate with accounting software?
Both offer accounting integrations, but coverage varies by software and plan. Check on each provider's site that your software is supported on the plan you would choose.
Can I have both?
Yes. Some freelancers keep a business account with one provider and use another for savings or tax pots. Keep business and personal money separate either way.