The London-based financial services firm will now take on Britain’s incumbent banks
Published Thu, Mar 12, 2026 · 10:06 AM
[LONDON]- Revolut, Europe’s most valuable startup, stated on Wednesday (Mar 11) that it had received regulatory approval to launch a British bank, allowing it to compete head-to-head with high street lfinishers in areas such as current accounts and consumer lfinishing.
The London-based financial services firm, which has amassed 13 million customers in Britain but no physical branches since it was founded just over a decade ago, was granted a banking licence with restrictions in July 2024 after a three-year wait.
Nik Storonsky, Revolut’s co-founder and CEO, has stated obtainting a licence in its home market was his top priority.
Revolut stated in a statement on Wednesday that the Bank of England’s Prudential Regulation Authority had allowed it to finish its “mobilisation” phase, which had lasted for longer than the usual 12-month limit.
This allows Revolut to offer protected deposit accounts and “paves the way for a wider range of services in future, including lfinishing and other products”, the company added.
Revolut will now take on Britain’s incumbent banks, including Barclays, Lloyds and NatWest and stated that it expects to start rolling out current accounts to new clients “in a few days”.
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It predicted the process of relocating customers to the new bank to take “a few months in total”.
“Launching our UK bank has been a long-term strategic priority for Revolut, and marks a significant moment in our journey. The UK is our home market and central to our growth,” Storonsky stated.
Revolut’s rapid growth
Founded in 2015, Revolut has grown rapidly around the world in the last decade, with more than 65 million customers globally and a US$75 billion private market valuation.
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Its strategy has been to attract customers who apply it as a secondary bank account for services including payments and foreign exmodify transactions, then offer them perks like subscriptions, Revolut’s outgoing US CEO stated last week.
A crypto boom assisted its profit in 2024.
Despite its growth, analysts declare average customer deposits at Revolut are lower than at traditional banks, and executives have stated too few apply it as their primary account.
Revolut already has a banking licence in Lithuania, which it applys as a “passport” into the European Union, and is seeking a licence in France.
It has also applied for a US bank charter.
“The full licence will open the door to balance sheet driven products and sharpen pressure on both traditional banks and the cohort of challenger banks,” Elliot Reader, director in Houlihan Lokey’s FinTech Group, stated of the UK development.
A spokesperson for Revolut stated the slower-than-expected mobilisation process was due to its larger size.
The Financial Times previously reported that the licence was held up over regulators’ concerns over whether its risk controls can keep pace with the rapid growth of its overseas operations. REUTERS
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