NatWest confirms two bank account changes with some customers set to pay £60 a year more

NatWest will increase the monthly fee for its Reward Black account from £31 to £36 per month - a rise of £60 over the year.

The bank will also raise the fee for the Reward Platinum account from £20 to £22 a month.

The fees for NatWest's Reward and Reward Silver packaged bank accounts will not increase.

A NatWest spokesperson said: “We’re making some changes to the monthly fee with some of our packaged accounts.

Have you got a money story you'd like to share? Get in touch by emailing money@gbnews.uk.

"The cost of providing the benefits associated with these accounts has risen considerably in recent years, and we have frozen our prices for the last five years.”

It's understood the main drivers of the fee increases are the insurances associated with these accounts, and the claim rate experienced by the third party providers.

There has also been an increase in cost driven from inflation on other benefits, such as Concierge and Airport Lounge access.

Customers can downgrade their account to an option with a lower monthly fee or to the non-fee accounts and customers can also choose to close or switch their accounts.

The Reward Platinum account offers worldwide travel insurance as well as UK car breakdown cover.

This is on top of the Reward and Reward Silver benefits - such as earning one per cent in Rewards when customers use the NatWest debit card at partner retailers, European travel insurance, mobile phone insurance and fee-free foreign card purchases.

The NatWest Black account offers 24/7 concierge service, home emergency cover, and access to 1,100 global airport lounges.

Members can also get UK and European car breakdown cover plus worldwide travel insurance.

People who earn more than £100,000 per year could be eligible for this account.

NatWest Group, which also includes Royal Bank of Scotland and Coutts, reported an operating pre-tax profit of £1.3billion for the first quarter of this year, down 27 per cent from £1.8billion the previous year.

LATEST DEVELOPMENTS:

• RBS to close a fifth of its branches - list of sites at risk
• Is your bank limiting cash deposits? NatWest and Barclays announce strict rules
• Martin Lewis warns of 'under-the-radar' change by UK's biggest credit card provider

Paul Thwaite, NatWest’s chief executive said there are signs that customer sentiment is improving following the cost of living squeeze on households seen in recent years.

He said: “We think that the pressure is easing for retail consumers. There is evidence they’re starting to feel a bit more confident, albeit they’re continuing to take control of their budgets.

“That’s primarily driven by expectations of reducing inflation and also a likely reduction in Bank of England base rates.

“But it is important to be balanced – there still are some challenges. The cost of living continues to impact household budgets for those customers who are rolling off mortgages, likely on to higher payments.”