Atom Bank to offer retail savings in Germany

Atom Bank is to offer retail savings in Germany in its first move overseas in an attempt to gather more deposits and boost growth after facing challenges in the UK market.

The app-based bank, which launched last year, has partnered with Deposit Solutions in order to launch fixed-rate products for German savers.

The partnership allows Atom to diversify its deposit base without having to set up additional retail infrastructure in Germany.

The move comes as Atom and other challenger banks vie for savings in the UK. But competition is heating up, as more new entrants launch into the market. Two new banks – Redwood and Wyelands – have launched in the past week.

Atom Bank and other new lenders are finding it tough to enter the current account market in the UK, due to the high costs, capital requirements and uncertainty over impending regulation. This leaves Atom fighting for a greater share of the savings market.

Mark Mullen, chief executive of Atom, said that the launch into Germany has been “carefully considered in order to give us an additional stream to increase deposits to aid our next stage of growth”.

Dr. Tim Sievers, chief executive of Deposit Solutions, said: “Both Deposit Solutions and Atom Bank have close brand synergies and are innovators seeking to utilise technology to open up the banking sector, increase value and improve the customer experience.”

Founded in 2011, Deposit Solutions is a site offering a range of lenders’ savings products, giving customers access in one place and providing them with greater control over their money. The site connects more than 30 banks from 15 countries across Europe, including established lenders like Deutsche Bank, to offer instant-access and fixed-term savings.