AMSTERDAM – Dutch online bank Bunq has filed for a permanent banking licence in Britain after years of operating with temporary permission, its founder Ali Niknam said on Tuesday.
Also on Tuesday, Bunq reported its first annual net profit, of 53 million euros ($57.4 million) for the full-year 2023. Deposits grew from 1.8 billion to 7 billion euros last year, it said, while gross interest income increased almost five times.
Canadian-Dutch entrepreneur Niknam founded Bunq in 2012.
It has become one of the most prominent European online banking start-ups and competes with Britain’s Revolut and Germany’s N26.
It has worked with a temporary British licence since Brexit.
“The United Kingdom is a very relevant market for Bunq,” Niknam said. “It is miles ahead of the rest of Europe in terms of fintech.”
Last year, the company filed for a banking licence with U.S. regulators and in 2021, it raised $228 million at a $1.9 billion valuation.
The company has a “freemium” business model that offers users a free savings account with limited features, and more advanced features with a monthly subscription costing from 3 to 18 euros per month.
($1 = 0.9235 euros) (Reporting by Bart Meijer; editing by Barbara Lewis)
