Nationwide has taken the lion’s share of the UK student current account market this year through its takeaway-themed FlexStudent account. More than 80,000 students have opened a FlexStudent account – equating to 46 per cent of the overall market and around double last year’s openings.
The success of the account, which has a Five-Star rating from Moneyfacts, comes as Nationwide continues to build on the value it returns back to its members – including its £100 Fairer Share Payment, which it last paid in June, and a recently-renewed pledge to keep all 696 Nationwide and Virgin Money branches open until at least the start of 2030.
FlexStudent provides an interest-free, fee-free arranged overdraft up to £3,000 by the third year and commission-free purchases and cash withdrawals abroad. From July to October, it offered students £100 cash and £10 of Just Eat vouchers every month for a year – helping drive record uptake.
This year’s launch also included a refer-a-friend scheme, allowing students to earn £20 per referral (up to two referrals), meaning meant they could benefit by up to £260 – or £280 if they were referred themselves.
So far, over 62,000 students have registered with Nationwide’s Just Eat portal, downloading a staggering 125,000 takeaway vouchers worth £1.25 million since launching in July. And with Christmas approaching, Nationwide expects this number to climb rapidly, with a total of £9.8 million of free food available across the 12-month offer.
ONS data1 shows that while average takeaway prices have risen over the past five years, £10 still covers most student favourites. Based on these figures, the total amount of takeaway vouchers downloaded to date could buy 119,274 pizzas, 165,125 kebabs or 186,567 portions of chicken and chips (based on ONS data below):
Average cost of a takeaway (ONS):
- Pizza: £10.48
- Fish & Chips: £9.88
- Indian: £9.71
- Kebab: £7.57
- Chinese: £7.14
- Chicken & Chips: £6.70
Students value branches and extra value: Nationwide data shows that more than one of ten (11%) FlexStudent accounts were opened in branch, suggesting students value face-to-face service.
Meanwhile, figures show that a quarter (25%) of Nationwide’s Fairer Share Payments in June went to members aged under 35 years old, while 12 per cent went to those aged under 25. This demonstrates how young generations are realising the benefits from being a member Britain’s biggest building society. Nationwide aims to pay Fairer Share every year, but it depends on how it performs financially.
Tom Riley, Director of Group Retail Products, said: “Students want great food and even greater value, and we’ve shown since launching our first student account in 2016 that we’re going from strength to strength. It’s also encouraging to see students opening accounts in person, as well as online, reinforcing our decision to invest in both digital and face-to-face service. Combined with the additional value we provide our members as a modern mutual – from better savings rates to paying a £100 Fairer Share Payment for the past three years – we believe there is every reason to join Nationwide.”
Rachel Springall, Finance Expert at Moneyfactscompare.co.uk, said: “It is fantastic to see students choosing a bank account that suits their lifestyle by taking advantage of cost-saving perks. Nationwide offers one of the most generous overdrafts for students on the market, plus, it has proven how it is championing face-to-face support by its branch pledge. This well-rounded approach is a huge draw for students who may for the first time be experiencing flying solo with their everyday finances and need support.”
Notes to Editors:
1 Fish and chips UK takeaway with biggest price rise - BBC News
