After more than three years of waiting, global neobank Revolut has finally been given a UK banking licence. However, it will have to limit the total amount of deposits it can accept.
ADVERTISEMENTBritain’s most valuable fintech company, Revolut, has finally been given a licence to operate as a bank in the UK.
This will allow Britain’s most valuable fintech company, which operates worldwide and has more than nine million UK customers, to compete more directly with other global banking giants.
The Financial Conduct Authority (FCA)’s licence authorisation allows newly established banks to recruit employees and fortify its IT systems, along with securing investment. The accreditation also limits the total amount of deposits a bank can accept.
In a statement, the firm said it had entered the “mobilisation” stage of its UK efforts, which means it will be able to build up its UK banking operations before it can become a fully fledged operating bank.
During the year-long mobilisation stage, the regulator must assess and approve the bank’s ability to be fully operational and also to ensure it has addressed any additional and necessary issues and requirements.
Eventually, the new authorisation could mean Revolut is able to list on the stock market – a goal Revolut executives have said they want to pursue.
Francesca Carlesi, Revolut’s UK CEO said: “This is the next phase in Revolut’s journey in the UK – we can’t wait to get going.”
The bank was founded by Nik Storonsky nine years ago in July 2015. It offers payment services to its customers, loans in specific markets, and the ability to trade cryptocurrencies and stocks, making it one of the most valuable startups in Europe.
The firm has published its financial accounts for the previous year, revealing its group revenues surpassed £1.7bn (€2.02bn), achieving record pre-tax profits of £438m (€521m).
