(Reuters) -London-based digital finance firm Revolut’s UK banking licence is being held up by British regulators’ concerns over whether its risk controls can keep pace with the rapid growth of its overseas operations, the Financial Times reported on Tuesday.
The firm received a UK banking licence with some restrictions in 2024, which was a step forward in Revolut’s journey towards eventually listing on the stock market.
Bank of England officials have sought commitments from Revolut that it will build its risk management infrastructure to match its ambitious international expansion plans, the newspaper said, citing undisclosed sources.
Britain’s banking regulator, the Prudential Regulation Authority, is scrutinising the robustness of Revolut’s controls both in Britain and internationally before awarding it a licence to operate as a fully fledged bank in the UK, the report added.
Reuters could not immediately verify the report. Revolut and the Bank of England did not immediately respond to a Reuters request for comment.
Nik Storonsky, Revolut’s CEO and co-founder, said in September that his top priority was to get a UK banking licence – a process running for several years – to transfer customers into the new bank and “offer them credit” products. Executives say they hope to obtain the final licence this year.
(Reporting by Mrinmay Dey in Bengaluru; Editing by Janane Venkatraman and Sonia Cheema)
