London tax app has stopped opening new current accounts

A London tax solution app has stopped opening new current accounts, and is doubling down on bank statement feeds through open banking.

The shift means that any freelancer can now use Coconut’s tax solution technology, regardless of existing banking arrangements.

The new tax app for freelancers, launched in 2021, enables self-employed people to connect securely with 25 plus bank accounts and credit card providers, and automatically pull in bank statements and transactions—making it easy to track how their business is doing as well as manage their expenses and taxes.

Sam O’Connor, CEO and Co-founder of Coconut said: “I no longer believe that combining a current account with a tax tool is the best solution for freelancers. Open banking has completely transformed the financial landscape, and by requiring customers to switch to your bank account, you limit their choice…”

“Most self-employed people have business transactions in their personal accounts or credit cards. Using open banking, we can help them unmuddle these two worlds; and by ensuring they have real-time information at their fingertips, keeping on top of their finances will require much less manual effort from both them and their accountants.”

“Accountants need a home for their sole traders. By enabling any of their clients to use Coconut regardless of where they bank, we are becoming that home—they don’t need their customers to switch banks to benefit from our software.”

Sam concluded: “Usability is key for the smallest businesses. They don’t have finance teams, but that doesn’t dampen their ambitions. We take the finance load off, so they can focus on the important things.”