Lloyds offers free Making Tax Digital tool for small businesses, powered by BankiFi

Source: MC2 / Lloyds

Lloyds, part of Lloyds Banking Group – the UK’s largest digital bank, together with BankiFi has launched a free Making Tax Digital (MTD) for income tax tool for small businesses in the UK. Embedded into the Lloyds Business Account, the tool is available exclusively to Lloyds Business customers at no cost and with no subscription fee.

BankiFi’s technology platform has been integrated directly into Lloyds’ Business Account and allows small businesses to quickly and easily comply with new MTD for income tax requirements which came into force on 6^th April 2026. These regulations require sole traders and landlords to keep digital records and submit quarterly reports to HMRC, both of which will be possible through the Lloyds banking app.

This MTD for income tax tool is HMRC‑recognised and enables small businesses to move from spreadsheet-based accounting to a fully digital solution integrated with a bank account. It also provides quarterly updates to HMRC, estimated tax views and end‑of‑year filing.

Ruchir Rodrigues, BCB client strategy and commercial director at Lloyds, said: “Small businesses are looking for simple, cost-effective solutions that save time. By working with BankiFi to embed our Making Tax Digital tool within the Lloyds Business Account for free, customers can manage their tax administration directly within their banking app, without needing a separate accounting subscription.”

Mark Hartley, chief executive officer at BankiFi, said: “This partnership is about delivering exactly what small businesses need, and in turn making Lloyds the best bank for businesses. Our platform enables Lloyds to quickly introduce the functionality customers want, while creating the foundation to continuously evolve their proposition in line with changing customer demand.”

Lloyds Bank is a Gold Partner of Open Banking Expo UK & Europe 2026, which takes place on 13-14 October at the Business Design Centre in London. Click here to find out more .