Trends
Neobank Bunq eyes UK market reentry, seeks banking licence
Bunq initially entered the UK market in 2019 but was forced to exit in late 2020 due to Brexit. It is preparing to reenter the UK market.
Headline
Bunq initially entered the UK market in 2019 but was forced to exit in late 2020 due to Brexit. It is preparing to reenter the UK market.
Context
Dutch digital bank Bunq hopes to obtain a banking licence from UK financial regulators later this year or early next year, according to CEO and founder Ali Niknam . Bunq was first introduced in the UK in 2019 and is recognised for its rainbow-coloured cards and emphasis on “ digital nomads ” who are not bound to a single nation. But because of Brexit, the bank was forced to leave the nation in late 2020.
Evidence
Pending intelligence enrichment.
Analysis
Financial institutions operating in the EU were no longer able to operate in the UK using their national authorisations after Brexit became law. The only license Bunq presently possesses is a banking license from the Dutch central bank. Ali Niknam, CEO of Bunq, said: “I hope we’ll get somewhere by the end of the year, maybe early next year, because the U.K.’s processes may be slightly different to Europe because it’s a different regulatory area.” Also read: Nubank enters Neobank market and launch eSIM services Also read: Neobanks outpace legacy banks in 2023 with 18M more downloads
Key Points
- Dutch digital bank Bunq, founded in 2012 by Ali Niknam, is preparing to reenter the UK market, aiming to secure a banking licence from UK financial regulators later this year or early next year.
- Bunq, known for its rainbow-coloured cards and focus on “digital nomads,” initially entered the UK market in 2019 but was forced to exit in late 2020 due to Brexit, which prevented EU-based financial institutions from operating in the UK using their national authorisations.
Actions
Pending intelligence enrichment.
