Revolut’s Full UK Bank Licence Is on Hold over Global Risk Control Concerns: Report

Tuesday, 14/10/2025 | 10:17 GMT by Arnab Shome
  • The UK fintech received a restricted banking licence within the “mobilisation” phase last year, under which it can take up to £50,000 in customer deposits.
  • Although the “mobilisation” phase usually lasts for 12 months, Revolut has been in it for the last 14 months.
Revolut

The United Kingdom regulators are holding Revolut’s full banking licence in the country over concerns about risk controls related to the fintech’s aggressive overseas expansion, Financial Times reported today (Tuesday).

Revolut’s Struggle to Become a UK Bank

The Prudential Regulation Authority (PRA) granted Revolut a restricted banking licence last year after the startup waited for an unusual three years. However, under the “mobilisation” phase, the fintech can only hold up to £50,000 in total customer deposits.

Although the “mobilisation” phase usually lasts for 12 months, Revolut has been in it for the last 14 months.

Read more: Revolut Becomes a UK Bank, but What Does a 'Mobilisation' Stage Mean?

Nik Storonsky, Revolut's CEO
Nik Storonsky, Source: LinkedIn

The report outlined that Bank of England officials are now seeking comments from Revolut on how it plans to build its risk management infrastructure to match its ambitious international expansion plans.

The goal of the PRA, which monitors how banks manage money laundering risks, is now to test the robustness of Revolut’s controls both in the UK and overseas before granting the full licence, according to “people familiar with the matter” cited by the Financial Times.

Is Aggressive Growth a Hindrance?

Revolut has around 65 million customers across about 40 countries. The UK is its largest market, with around 12 million users. It now aims to reach 100 million customers globally by mid-2027.

It has also become the most valued startup in the UK and is now seeking a $75 billion valuation.

Although the fintech is struggling with its banking licence in the UK, it operates in the European Union with a Lithuanian banking licence. It has also secured a banking licence in Mexico and is seeking one in New Zealand. In addition, it has pledged to invest over €1 billion (US$1.1 billion) in France, where it intends to apply for a banking licence.

The challenger bank is also eyeing the American market and is willing to acquire a local bank to secure a banking charter there.

Revolut currently operates in the UK with a payment licence. If it secures a full banking licence, it will be able to put customer deposits to work just like a traditional bank.

FinanceMagnates.com reported earlier that the UK fintech’s pre-tax profits for 2024 reached £1.1 billion, partly driven by cryptocurrency earnings, on global revenues of £3.1 billion.

It also has an investment target of $13 billion over the next five years and plans to enter 30 new markets by 2030, including across Latin America, Asia, and the Middle East.

The United Kingdom regulators are holding Revolut’s full banking licence in the country over concerns about risk controls related to the fintech’s aggressive overseas expansion, Financial Times reported today (Tuesday).

Revolut’s Struggle to Become a UK Bank

The Prudential Regulation Authority (PRA) granted Revolut a restricted banking licence last year after the startup waited for an unusual three years. However, under the “mobilisation” phase, the fintech can only hold up to £50,000 in total customer deposits.

Although the “mobilisation” phase usually lasts for 12 months, Revolut has been in it for the last 14 months.

Read more: Revolut Becomes a UK Bank, but What Does a 'Mobilisation' Stage Mean?

Nik Storonsky, Revolut's CEO
Nik Storonsky, Source: LinkedIn

The report outlined that Bank of England officials are now seeking comments from Revolut on how it plans to build its risk management infrastructure to match its ambitious international expansion plans.

The goal of the PRA, which monitors how banks manage money laundering risks, is now to test the robustness of Revolut’s controls both in the UK and overseas before granting the full licence, according to “people familiar with the matter” cited by the Financial Times.

Is Aggressive Growth a Hindrance?

Revolut has around 65 million customers across about 40 countries. The UK is its largest market, with around 12 million users. It now aims to reach 100 million customers globally by mid-2027.

It has also become the most valued startup in the UK and is now seeking a $75 billion valuation.

Although the fintech is struggling with its banking licence in the UK, it operates in the European Union with a Lithuanian banking licence. It has also secured a banking licence in Mexico and is seeking one in New Zealand. In addition, it has pledged to invest over €1 billion (US$1.1 billion) in France, where it intends to apply for a banking licence.

The challenger bank is also eyeing the American market and is willing to acquire a local bank to secure a banking charter there.

Revolut currently operates in the UK with a payment licence. If it secures a full banking licence, it will be able to put customer deposits to work just like a traditional bank.

FinanceMagnates.com reported earlier that the UK fintech’s pre-tax profits for 2024 reached £1.1 billion, partly driven by cryptocurrency earnings, on global revenues of £3.1 billion.

It also has an investment target of $13 billion over the next five years and plans to enter 30 new markets by 2030, including across Latin America, Asia, and the Middle East.

About the Author: Arnab Shome
Arnab Shome
  • 7212 Articles
  • 130 Followers
About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 7212 Articles
  • 130 Followers

More from the Author

FinTech

!"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|} !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}