Revolut announced on Wednesday that UK regulators have lifted restrictions on its banking licence, allowing the fintech company to begin offering current accounts to customers in its home market. The move ends a years-long wait for the company, which had been operating in a “mobilisation” phase since receiving a restricted licence in 2024.
The London-based financial app, which serves 13 million UK users without any physical branches, will start rolling out current accounts to new customers within days. The full transition of existing customers to Revolut’s UK bank is expected to take several months, the company 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,” said Nik Storonsky, co-founder and CEO of Revolut.
Revolut has already secured banking licences in other countries, but the approval in the UK, its largest market, represents a major milestone. Analysts say the unrestricted licence allows the company to expand its offerings beyond traditional fintech services, including balance sheet-driven products such as loans and savings accounts.
“This is the moment Revolut really transfers from large-scale fintech disruptor to a fully-fledged mainstream banking competitor. The full licence will open the door to balance sheet driven products and sharpen pressure on both traditional banks and the cohort of challenger banks,” said Elliot Reader, Director in Houlihan Lokey’s FinTech Group.
The company has grown rapidly over the past decade, becoming Europe’s most valuable startup and a key player in the digital banking sector. Revolut’s expansion into full banking services in the UK puts it in direct competition with both established banks and newer fintech challengers offering digital-first solutions.
With the new licence, Revolut can fully control customer deposits, lend directly, and offer a broader range of financial services. Experts say this could accelerate competition in the UK banking sector, where traditional banks have faced pressure from nimble digital rivals.
Revolut’s UK banking launch also reflects a broader trend of fintech firms moving beyond app-based services to become licensed financial institutions, giving them access to regulatory protections and the ability to offer more complex financial products.
The company did not disclose specific timelines for all customers to switch to current accounts but emphasized that the process would occur gradually over the coming months. By enabling direct banking, Revolut aims to solidify its position as a leading digital banking alternative in the UK while continuing its international expansion.
The launch underscores the growing influence of fintech in the UK, as digital-first firms reshape consumer expectations and challenge traditional banking models with flexible, app-based financial services.
