The digital bank holds a 2.6 per cent share of the UK’s SME banking customers and £500m of SME loans on its balance sheet.
Starling says the latest funding will be used to “continue its rapid growth and help it provide much-needed support to small business customers who have been hit by the coronavirus emergency.”
To date the challenger bank has 155,000 business accounts, meaning that it has amassed 55,000 new customers since the beginning of February—no doubt accelerated by coronavirus.
Anne Boden, founder and chief executive of Starling Bank, said: “This additional funding from our existing investors demonstrates their commitment both to Starling and to our small business and personal customers who need our support now more than ever.”
According to Starling it now has also more than doubled its user deposits in the last six months, taking its total amount held to over £2.4bn.
It has not been all smooth sailing for the bank, however, as it came under fire when it stopped accepting new sole trader business accounts because of “record demand” on 14 May 2020.