Revolut chair Gilbert holds talks with PRA as licence impasse drags on

The chairman of Revolut is expected to meet financial watchdogs this week in an effort to resolve an impasse over its application for a UK banking licence.

Sky News understands that Martin Gilbert, the former boss of fund manager Standard Life Aberdeen, is due to hold talks with officials from the Prudential Regulation Authority (PRA) as the application process drags on.

One source said they were scheduled to meet on Tuesday.

The talks come weeks after the Telegraph reported that regulators were preparing to reject Revolut’s application altogether.

A licence is seen as important because of the international credibility attached to the UK regulatory approval process, and because being able to accept retail deposit would significantly reduce Revolut’s cost of capital.

Nik Storonsky, the digital bank’s founder and CEO, has publicly criticised the UK government and watchdogs in recent months over the length of time its banking licence application has taken.

He reportedly threatened to move the company’s headquarters overseas as a consequence of his frustration.

Revolut has, however, been beset by compliance and governance issues, recently losing its finance chief.

It also saw its auditor, BDO, warn that its revenues were misstated in its delayed 2021 results.

Mr Storonsky suggested that regulators’ caution had been fuelled by recent industry crises which had involved the rescue of Credit Suisse by Swiss rival UBS, and the collapse of Silicon Valley Bank.

Revolut, which has been contacted for comment, previously said it had agreed with the PRA not to speak publicly about the licence application while it was ongoing.