Digital & Technology

Revolut to apply for UK Banking License

Revolut, the UK’s biggest FinTech start-up, has been reported to be intent on applying for a UK banking license, thus allowing the firm to offer lending services and FSCS-protected deposits.

The firm currently holds a European banking licence which was issued in 2018 to the firm by the Bank of Lithuania, according to an article by Finextra. In the UK, Revolut is currently a Financial Conduct Authority (FCA) authorised e-money institution.

In February 2020, Revolut was valued at GBP4.2 billion, following a funding round which is said to have tripled the firm’s value. The firm now claims to service around 10 million customers, employing 2,000 individuals across its 23 offices.

In 2019, questions were raised regarding Revolut’s commitment to AML regulation, as well as the firm’s treatment of its staff and its recruitment policies. In response, Revolut is reported to have made a series of high-profile appointments across the firm’s risk and compliance functions, and has increased the years of banking experience amongst its Board of Directors.

In March 2020, Revolut is reported to have recruited Michael Sherwood, former Co-Chief Executive, Goldman Sachs International (GSI) who was affiliated with GSI for three decades, as a Non-Executive Director.

Ian Wilson has also been recruited by Revolut as a Non-Executive Director. Wilson brings over 40 years’ experience in retail banking, risk management and compliance to Revolut’s Board, having previously worked as an Executive and Non-Executive Director for a number of significant players in financial services, including RBS, Santander, Tesco Bank, Charter Court Financial Services and Monzo, according to a Finextra report.

The appointment of such senior industry figures is anticipated to boost confidence in the emerging FinTech powerhouse.