Revolut Granted Full UK Banking Licence

Revolut has officially been granted a full UK banking licence, ending a long regulatory process that began in 2024 with a restricted licence. The approval allows the fintech company to expand its operations, offering a broader range of banking services to its 13 million UK customers. This includes providing current accounts, as well as other products that involve balance sheets, such as loans and enhanced deposit services.

Until now, Revolut had been operating under a restricted licence, which limited the services it could offer. The company has long challenged traditional banks with its app-based platform, bypassing the need for physical branches and offering financial services primarily through its mobile app. The shift to a full banking licence represents a significant step forward for Revolut, as it can now fully operate as a traditional bank in the UK, providing a greater variety of services to its growing customer base.

Nik Storonsky, the co-founder and CEO of Revolut, hailed the move as a crucial development in the company’s evolution. With this new licence, Revolut can deepen its product offerings and strengthen its position in the UK market, positioning itself as a serious contender in the mainstream banking sector. The ability to offer balance sheet-based products is expected to increase the company's competitiveness, allowing it to expand beyond just financial apps and tap into core banking services that customers need.

The phased rollout of these services will begin with current accounts in the coming days, with additional features and products to be added gradually in the months to follow. UK customers will benefit from added protections, including eligibility for the Financial Services Compensation Scheme, which covers deposits held in licensed banks, ensuring their financial security.

Revolut’s approval comes after a period of regulatory scrutiny over its risk management practices and operational readiness. This long-awaited licence marks a turning point for Revolut and reflects the growing maturity of the UK fintech sector. It also paves the way for potential expansion into other global markets and the possibility of raising additional capital to fuel further growth.