Digital bank Monzo has surpassed 10 million UK customers amid growing competition in the fintech and digital banking sector.
Monzo announced the milestone on Tuesday, with one in five UK adults now having a Monzo personal account, according to the London-based company.
The fintech said Monzo reached the 10 million user mark by adding two million new UK users in the past 12 months.
This cements Monzo’s position as the UK’s largest challenger bank by number of customers.
Rival firm Revolut is closely following its tail, however, having recently reported surpassing nine million UK customers – as of July 2024.
Whether Revolut can overtake Monzo remains to be seen, though its recent approval for a full UK banking licence could act as a boost. Revolut is also approaching a mega valuation of $45bn through a share sale it reportedly informed staff of this month.
Monzo CEO TS Anil, however, appears more concerned with competing against legacy banking giants.
Anil said at London Tech Week in June that the “incumbent banks…are burdened by legacy technology, legacy, business models, legacy mindsets”.
“The race between these two constituencies is really about will the incumbents deliver on the promise of technology to customers, or whether these challengers understand banking at scale.”
According to recent figures, NatWest has 19 million customers, Barclays UK has over 20 million, HSBC UK has almost 15 million customers and Lloyds Banking Group has 27 million customers.
Monzo recently posted its first full year of profit, reporting £15.4m for the year ended 31 March.