Revolut’s UK banking licence faces fresh delays over risk concerns

Fintech giant Revolut is reportedly facing further delays in securing its full UK banking licence due to regulatory concerns over its cross-border payment controls.
After a three-year process, the company received initial approval last year and entered a ‘mobilisation’ phase. During this restricted period, its banking division can hold a maximum of £50,000 in deposits while it builds out its infrastructure.
While it was expected Revolut would exit this stage within 12 months, the deadline passed on 25 July. According to the Financial Times, the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) are seeking assurances that the firm will enhance its risk management controls, particularly as it pursues ambitious global expansion.
The lengthy process has reportedly created tension between the Chancellor, Rachel Reeves, who is eager for Revolut to gain full clearance, and the Bank of England Governor, Andrew Bailey, who is said to have cancelled a meeting intended to speed up the process.
In a separate development, Revolut has acquired Swifty, an AI-powered travel agent startup incubated at the Lufthansa Innovation Hub. The deal brings Swifty’s technology and co-founders to Revolut to enhance the company’s loyalty and lifestyle products.
Christopher Guttridge, Revolut’s head of loyalty, said the acquisition “strengthens our position at the intersection of finance, AI and lifestyle” and will help “deliver even more personalised and seamless experiences to our customers”.