The licence means that Revolut, which has 13m customers in the UK, will be able offer accounts as a fully licenced bank in the UK for retail and business customers.
Revolut has been awarded a full UK banking licence, after regulators lifted restrictions on the UK challenger bank, which had lasted for an extended time.
Revolut, valued at $75bn, today said it had received regulatory approval from the Bank of England’s Prudential Regulation Authority (PRA) to exit the mobilisation phase, and launch as a bank in the UK.
Nik Storonsky, co-founder and CEO of Revolut, said: “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. We look forward to introducing a full suite of banking services to our millions of UK customers, bringing the same innovative experience we already provide across the rest of Europe. This is a vital step in our mission to build the world’s first truly global bank.”
The winning of the licence draws to a close a 20 month process in which Revolut has been awaiting to get the full green light, after securing a licence with restrictions in July 2024. The period of restrictions usually lasts around 12 months.
In this so-called “mobilisation phase” Revolut has been operating under banking restrictions, including a cap on deposits. Revolut applied for a UK banking licence in 2021.
The licence win means that Revolut, which has 13m customers in the UK and 70m globally, will be able to begin offering accounts as a fully licenced bank in the UK for both retail and business customers. It enables Revolut to offer deposit accounts protected by the FSCS (Financial Services Compensation Scheme) on eligible deposits and paves the way for a wider range of services in the future, including lending and other products.
It will allow it to better compete with UK established banks like HSBC, Lloyds, and Barclays and, given that a UK banking licence is held in high regard, could help with other licence wins around the world.
Francesca Carlesi, UK CEO at Revolut, commented: “Becoming a bank in our home market marks a defining moment in our journey — a milestone achieved through relentless focus, discipline, and belief in what we’re building.
“Securing this licence lays the foundation for our next chapter: expanding into a broader suite of products, including credit, to sit alongside the innovative services our customers already rely on every day. This will now enable us to continue on our mission to deliver the most seamless, secure, and customer-centric banking experience for consumers across the UK.”