Revolut Cleared to Operate as Full UK Bank After 20-Month Regulatory Waiting Period
The UK's Prudential Regulation Authority has lifted its mobilisation restrictions on Revolut, formally authorising the fintech to operate as a fully licensed bank in its home market for the first time.
The PRA's decision, announced March 11, 2026, ends a supervised holding period that stretched nearly 20 months from the restricted licence granted in July 2024, almost double the 12-month window regulators typically expect. The authorisation of Revolut Bank UK Ltd caps a licensing process the company first initiated in 2021.
"Launching our UK bank has been a long-term strategic priority for Revolut. The UK is our home market and central to our growth," said co-founder and CEO Nik Storonsky.
What Changes for UK Customers
Revolut's 13 million UK users will not be switched over immediately. The company plans a phased migration, with existing customers required to receive at least two months' notice before their account moves to the new bank entity. Users who open accounts from March 11 onward will initially be placed in an electronic money institution (EMI) account rather than the full bank product.
The most meaningful change for customers is deposit protection. As an EMI, Revolut ring-fenced user funds but those balances were not covered by deposit insurance. Under the full banking licence, eligible deposits up to £85,000 per customer will be protected by the UK's Financial Services Compensation Scheme (FSCS). The licence also clears the regulatory path for Revolut to offer lending and credit products in the UK, a significant revenue opportunity the company has not previously offered domestically.
One important distinction for crypto users: funds held in Revolut's crypto services remain in a separate entity within the app and carry no FSCS protection. Crypto trading continues to operate independently of the banking platform.
Revolut announced plans to invest £3 billion in the UK and create 1,000 high-skilled jobs alongside the launch.
Why the Process Took So Long
The extended mobilisation period drew attention in October 2025, when reporting indicated the Bank of England was scrutinising Revolut's ability to maintain risk controls across its rapid international expansion. The PRA's concern centred not on past compliance failures but on whether the company's internal governance infrastructure could keep pace with its growth across 38-plus countries. The PRA has not issued a public statement explaining the specific reasons for now lifting the mobilisation restrictions, and the official rationale for the clearance decision remains unconfirmed as of publication.
Revolut's financial growth during the delay period illustrates how much the company scaled while awaiting full authorisation. The company posted $4.0 billion in revenue for 2024, a 72 percent year-on-year increase, and $1.4 billion in profit before tax, up 149 percent from the prior year. Its current valuation stands at $75 billion following a 2024 secondary share sale. The company serves more than 65 million customers globally.
On-Chain Context: Stablecoin Rails Already Live
In November 2025, Revolut integrated Polygon's blockchain to power stablecoin-based remittances using USDC, USDT, and POL for UK and EEA customers. That integration processed more than $690 million in transactions in its first 90 days. Revolut also secured a MiCA licence from Cyprus's CySEC in October 2025, giving it regulated crypto-asset service provider status across all 30 EEA countries and access to a platform offering 280-plus tokens, zero-fee staking with yields of up to 22 percent APY, and direct 1:1 stablecoin conversions.
Regional Impact: South Asia and Africa
For the South Asian diaspora in the UK, the FSCS guarantee makes Revolut more viable as a primary bank account rather than a secondary card. That shift matters for remittance volume. Revolut has identified India as a near-term expansion market, hiring locally and targeting remittances as its entry product. India received more than $120 billion in remittances in 2024. It is worth noting that Revolut does not yet offer accounts to Indian or Pakistani residents, so users in those countries cannot currently open accounts directly through the app. Separately, Reliance Jio is a named partner on the same Polygon infrastructure Revolut now uses for stablecoin transfers, according to Polygon's published partner documentation. That connection could carry more significance as both companies deepen their financial services footprints.
In Africa, the more concrete development is Revolut's September 2025 Section 12 application under the Banks Act, filed with the South African Reserve Bank. The UK charter matters for that process. SARB will scrutinise parent-entity governance as part of its review, and resolving its most significant outstanding home-market regulatory gap strengthens Revolut's standing considerably. Revolut has also appointed a local Head of Strategy and Operations in South Africa and has indicated plans to offer its full product suite there, including crypto trading and stock access, subject to regulatory approval. The UK is also a significant source of remittances to Nigeria, Kenya, Ghana, and South Africa, and the Polygon-based stablecoin transfer feature is already available to UK residents sending money abroad. To be clear, Revolut remains unavailable to residents of most Sub-Saharan African countries. Its regional relevance for now runs through the diaspora corridor. Sub-Saharan Africa recorded $205 billion in on-chain crypto value between July 2024 and June 2025, with Nigeria and South Africa posting crypto adoption rates above 70 percent, according to Chainalysis data.
What Comes Next
Revolut has signalled plans to enter 30 new markets by 2030, according to the company's publicly stated expansion targets. With its UK banking licence in hand, the company enters that expansion phase having resolved what analysts have described as its most significant outstanding regulatory gap. The South Africa application and the India remittance push represent the two regional threads most likely to produce near-term news. In India, Revolut is building out a local team targeting approximately 300 staff, with remittances as its lead product for market entry. In South Africa, the SARB review will be informed by the UK licensing outcome, and Revolut intends to launch its full product suite, including crypto trading and stock access, if the application is approved. Whether the PRA experience shapes how other regulators assess Revolut's governance model will become clearer as those licensing processes advance.