Revolut is reportedly facing further delays in securing a full UK banking license due to regulators’ concerns over its risk controls related to cross-border payments.

Separately, the fintech has acquired an AI travel agent that was incubated at an innovation hub run by Lufthansa.

Revolut won initial approval for a UK banking license last year after a three-year dispute with regulators, according Finextra.

The approval marked the start of a ‘mobilisation’ phase, during which its banking division can accept total deposits of only £50,000 while it strengthens its controls and infrastructure.

It was initially expected that Revolut would complete the mobilisation period within 12 months, but that deadline passed on 25 July with no sign of further progress.

According to the Financial Times, the Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA) have raised concerns over how the firm manages cross-border payments.

Officials are reportedly seeking assurances that Revolut will enhance its risk management systems as it accelerates its international expansion.

The company recently outlined a five-year global strategy to invest £10 billion and create 10,000 jobs, with plans to reach 100 million customers by mid-2027 and expand into 30 new markets by 2030.

The protracted mobilisation phase has previously caused friction between Bank of England governor Andrew Bailey and Chancellor of the Exchequer Rachel Reeves.

Reeves is said to have pushed for a three-way meeting between Treasury officials, the PRA, and Revolut to resolve issues hindering the company’s progress, but her efforts were reportedly blocked by Bailey, who cancelled the planned meeting (FT).

In a separate development, Revolut has acquired Swifty, an AI-powered travel agent startup originally incubated at Lufthansa Innovation Hub (LIH).

The acquisition brings Swifty’s proprietary AI technology and co-founders, Stanislav Bondarenko and Tomasz Przedmojski, to Revolut, where they will focus on developing the company’s loyalty and lifestyle offerings.

Christopher Guttridge, Head of Loyalty at Revolut, said:

“This acquisition strengthens our position at the intersection of finance, AI and lifestyle. Through this move we’re gaining both talent and expertise in AI-driven travel solutions, which will help us deliver even more personalised and seamless experiences to our customers.”

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