The Cheapest Way to Send Money Between the UK and Spain
Whether it's a pension, a salary, your savings, or paying for a place in the sun, almost every UK expat in Spain has to move money between pounds and euros — and the high street makes it expensive. The tool most of us end up using is Wise (formerly TransferWise).
Why your bank is the expensive option
When a UK or Spanish bank converts your money, it usually adds a markup of 3–5% to the exchange rate — on top of any transfer fee. That markup is hidden in a "worse" rate than the one you see on Google. On a £2,000 transfer, a 4% markup is about £80 gone before you've paid a single fee. Do that every month with a pension and it adds up fast.
What Wise does differently
Wise transfers money at the real, mid-market exchange rate — the exact rate you see on Google — and charges a small, clearly-stated fee instead of hiding a markup. You can see the fee and the amount that lands before you send.
Why it suits UK expats in Spain
- Hold £ and € together. Keep both currencies in one account and convert when the rate suits you.
- A euro IBAN of your own. Wise gives you Spanish-friendly euro account details (IBAN) plus UK details (sort code & account number) — handy for receiving a UK pension or salary and paying things in Spain.
- The Wise card. Spend in euros in Spanish shops and withdraw from ATMs at the real rate, with no nasty conversion surprises.
- Cheaper than the banks for currency exchange, in our experience and for most expats.
How to get started
- Open a free Wise account and verify your ID (passport or driving licence).
- Add money from your UK bank by transfer or card.
- Convert £ to € or send straight to a Spanish account.
- Order the Wise card to spend in euros while you're in Spain.
Open a Wise account (fee-free first transfer) →
Frequently asked questions
Is Wise cheaper than my bank for sending money to Spain?
For currency exchange, almost always. Wise uses the real mid-market rate with a small upfront fee, while banks typically bury a 3–5% markup in the rate. The bigger the transfer, the more you tend to save.
Can I get a euro (Spanish) IBAN with Wise?
Yes. A Wise account gives you euro account details including an IBAN, which many Spanish companies and landlords accept. Note a small number of Spanish services still insist on a local ES-prefixed account — check with them if it's for direct debits.
Can I have my UK pension or salary paid into Wise?
Wise gives you UK account details (sort code and account number) that can receive GBP, so in many cases yes. Some pension and payroll providers have their own rules, so confirm with them first.
Do I still need a Spanish bank account?
Often Wise covers most of what you need, but some Spanish utilities, the town hall, or mortgage providers require a local Spanish account for direct debits. Many expats use Wise for cheap transfers and a basic Spanish account for local bills.
Is Wise a bank?
No — it's an FCA-regulated Electronic Money Institution. Your money is safeguarded but not FSCS-protected. It's ideal for moving and spending money, not for holding large savings long-term.