Revolut, a leading global fintech company with over nine million customers in the UK and 45 million worldwide, has received its UK banking licence from the Prudential Regulation Authority (PRA). This development marks a significant milestone in Revolut’s expansion into the UK banking sector.
Upon receiving the licence, Revolut has entered the ‘mobilisation’ stage, also known as ‘Authorisation with Restrictions’. This phase is a standard step for new banks in the UK, allowing them to complete their banking operations setup before fully launching their services.
During this mobilisation period, there will be no changes for Revolut’s UK customers. They can continue to use their Revolut e-money accounts as usual. This stage is designed to ensure a smooth transition and thorough preparation before Revolut starts offering its full banking services.
Nik Storonsky, CEO of Revolut, expressed his pride in reaching this milestone: “We are incredibly proud to reach this important milestone in the journey of the company and we will ensure we deliver on making Revolut the bank of choice for UK customers.”
Francesca Carlesi, UK CEO of Revolut, highlighted the significance of the announcement: “Today’s announcement is a significant step forward for Revolut and for our customers. It is a tremendous responsibility to be a bank in the UK and we will work relentlessly to offer products and services that improve the financial lives of everyone who uses Revolut. This is the next phase in Revolut’s journey in the UK – we can’t wait to get going.”
Revolut’s latest financial results for 2023 show impressive growth, with Group revenues exceeding $2.2 billion and record pre-tax profits of $545 million.
Disclaimer:
Revolut NewCo Ltd, a UK subsidiary of Revolut Group Holdings Ltd, is now a licensed UK bank. Its Firm Reference Number (FRN) is 981170. The ‘mobilisation’ stage, also referred to as ‘Authorisation with Restrictions’, is a common industry process that many new banks, including Monzo, Starling, Atom Bank, Zopa Bank, GB Bank, and Kroo, have undergone.
For more details, refer to the Bank of England’s ‘New bank authorisation process’ guide.
During the mobilisation stage, banks can hold only £50,000 of total customer deposits. Until the mobilisation stage is completed and the UK bank is launched, Revolut’s UK customers will remain with Revolut Ltd, a UK e-money institution regulated by the FCA, where their funds are safeguarded in accordance with the Electronic Money Regulations 2011.
This article does not constitute financial or legal advice and professional advice should always be sought.
