The change is seen as a crucial step in the company’s prolonged effort to secure a full UK banking licence.

EY will take over the audit for the financial year ending December 2026 after winning a formal tender process that also included BDO and PwC. The move ends Revolut’s seven-year association with BDO, which had become strained, Financial Times reports.

In 2023, BDO issued a warning that it could not fully verify Revolut’s 2021 revenues due to issues with the fintech’s internal controls. This qualification, along with late accounts filings, contributed to a three-year delay in Revolut’s application for a UK banking licence. The company has since resolved the control issues raised by BDO.

The appointment is a significant win for EY, which adds Revolut to a client roster including Deutsche Bank, UBS, and Standard Chartered. The firm has faced its own scrutiny, notably accepting a two-year ban on new listed clients in Germany over its role in the Wirecard scandal.

For BDO, the loss of the Revolut mandate is a blow. The firm was recently criticised by the Financial Reporting Council, which stated that BDO “must urgently and robustly reassess how to improve its audit quality” after a review found significant deficiencies in its work.

Sources close to the process suggested that Revolut’s decision to appoint a Big Four firm like EY was made with a potential initial public offering (IPO) in mind. The appointment is part of a wider strategic push, as Revolut holds talks with investors for new funding to fuel its global expansion and eyes a potential valuation of $65 billion (c. £48bn).

Revolut’s chief financial officer, Victor Stinga, thanked BDO for their “valued partnership” during a period of significant growth. The appointment of EY is subject to shareholder approval.