Bunq online bank is moving to the UK. The bank previously left the country due to Brexit, but is now returning. CEO Ali Niknam called London a ‘hotspot for technology companies’. Journalist FD Matthijs Rotteveel stated that the bank primarily focuses on digital nomads, who often reside in the British capital.

This is one of the reasons the bank has reopened its branch in London. ‘Digital nomads do almost everything online and Bunq wants to serve that group. To do this, they want to be the center of attention for technology companies,” explained Rotteveel. ‘Because if you as a bank want to serve your customers, it would also be useful if you were located in that country.’

Bonus rules

The fact that a number of regulations have recently been abolished in the UK, including the bonus rule, is very coincidental, according to FD journalists. This means it is easier to pay varied rewards. This is especially attractive for neobanks like Bunq, which compete not only with other banks but also with various fintech companies.

‘Britain has abolished the regulations to attract top financial figures to London. Many technology companies provide stock packages to promising employees. CEO Ali Niknam saw that Bunq could also benefit by providing varied rewards,” explained Rotteveel.

Profitability

Niknam himself did not provide a definite answer to the question of whether the removal of these regulations would indeed play a role in the return of online banking to London. The CEO does predict Bunq will also close the year with a profit. According to Rotteveel, this is mainly due to the still high interest rates. ‘But most of those rate hikes have already been completed, so it’s still not possible to say whether Bunq will be able to maintain its rise.’