Revolut gains PRA approval to exit mobilisation and launch Revolut Bank UK as a fully authorised deposit-taker
Revolut has received approval from the Prudential Regulation Authority (PRA) — the UK's banking supervisor, part of the Bank of England — to exit the mobilisation phase and formally launch Revolut Bank UK as an authorised UK bank. The approval marks the end of a years-long regulatory authorisation process and allows Revolut to operate as a fully licensed deposit-taking institution in its home market for the first time. Co-founder and CEO Nik Storonsky described the launch of the UK bank as a long-term strategic priority and a significant milestone in Revolut's development. The announcement follows Revolut's pledge to create 1,000 high-skilled jobs in the UK as part of the authorisation process, alongside a broader £3 billion ($4 billion) investment commitment. Separately, Revolut has announced a global investment of £10 billion over the next five years and an ambition to create 10,000 new jobs internationally. The mobilisation phase — a supervised period in which a newly authorised bank operates under restrictions before receiving full authorisation — has historically been a source of frustration for fintech applicants. Revolut's successful exit signals the PRA's willingness to complete the authorisation of high-growth digital banks, albeit on an extended timeline. The firm has also announced recent expansions into the US market, following a launch in Mexico.
Why this matters
Full PRA authorisation unlocks a materially different regulatory and legal framework for Revolut: it must now comply with the full suite of PRA and FCA (Financial Conduct Authority) requirements applicable to deposit-taking institutions, including prudential capital requirements, FSCS (Financial Services Compensation Scheme — the UK depositor protection scheme) membership, and enhanced consumer protection obligations. This creates sustained compliance advisory work — both for Revolut's in-house team and external counsel — across regulatory capital, product governance, and consumer duty compliance. The authorisation also removes a competitive handicap relative to traditional banks, which may accelerate Revolut's expansion into lending and other regulated products, generating further transactional work.
On the Ground
A trainee supporting a bank authorisation or regulatory compliance mandate would be drafting regulatory notification documents, completing FCA/PRA application forms for new product approvals or change of control notifications, and maintaining a compliance gap analysis memo tracking the gap between current operations and the full regulatory requirements that now apply.
Interview prep
Soundbite
Full PRA authorisation switches on the entire regulatory compliance stack — Revolut now faces the same capital, conduct, and depositor-protection obligations as any high-street bank.
Question you might get
“What is the difference between a firm operating in mobilisation and a fully authorised UK bank, and what additional regulatory obligations does full authorisation trigger?”
Full answer
Revolut has secured PRA approval to exit mobilisation and launch as a fully authorised UK bank, ending one of the most closely watched fintech licensing processes in recent years. The commercial implication is significant: full authorisation activates PRA prudential requirements, FSCS membership, and the complete FCA conduct framework, generating substantial ongoing compliance advisory work. For law firms, this means a high-growth, well-capitalised client now needs to be advised on the full breadth of banking regulation — from capital adequacy to product governance and consumer duty — rather than the narrower mobilisation perimeter. The wider trend is that the UK's fintech sector is maturing into a regulated banking sector, with several neobanks now operating under full licences, which is compressing the regulatory arbitrage that characterised the early challenger bank era.
My notes
saved