The two groups are part of the wider Royal Bank of Scotland Group.

The offer, which launches today, runs until 28 June 2019. The payment comes in two parts: £125 after the first few months and a further payment of £50 once the account has been open for a year.

The Royal Bank Reward current account will also benefit from 2% Rewards on household bills with an average of £83 received each year. NatWest accounts offer the same reward programme.

The group’s Reward Silver, Platinum or Black accounts have no foreign purchase fees on debit card purchases made outside the UK, up to 40% off cinema tickets and (for Reward Platinum and Black customers) personal car breakdown cover, which covers account holders both for vehicles they own and any vehicle they are travelling in. There is also mobile phone and travel cover.

The switching offer compares favourable with other groups. As it stands, First Direct offer £125 for switching; M&S Bank offers £180 in vouchers, split over two payments. Halifax is currently offering £135. All are subject to certain conditions.

Switching bank accounts can be done through the Current Account Switch Service. Payments, such as direct debits and standing orders are automatically transferred to the newly opened account within seven days. An account can be opened on rbs.co.uk or in any Royal Bank branch. Once customers have transferred their main current account to Royal Bank, they will then receive £125 by 30 August 2019 and if they remain a customer after a year and meet the terms and conditions will receive a further £50.

Customers must pay in £1500 to the account and log into online or mobile banking through the Royal Bank mobile app before 2 August 2019. Customers must be 18 or over and must not have received a cash offer from Royal Bank for opening a new current account and switching after October 2017.