Recognise Bank given green light to become UK’s newest bank
Recognise Bank is to become the country’s newest bank after being granted a banking license.
Deposit restrictions on the digitally led bank have been lifted by the Prudential Regulation Authority, according to Recognise parent company Canada group (COLG)
The bank will launch its personal and business savings products and start taking deposits with FSCS protected personal savings products to launch on Tuesday.
Business saving products will also be launched later.
COLG agreed the sale of Milton Homes and completed a capital raise to meet the capital requirements for the PRA to lift restrictions, it was announced last month.
The group said it wanted to address the funding and service gap experienced by underserved small and medium enterprises in the UK.
More than 60 people are employed by Recognise, led by CEO Jason Oakley, a former head of commercial banking at Metro Bank.
Philip Jenks, chairman of COLG and Recognise Bank, said the news marked a “major milestone”.
Jenks said: “We have completed the final step on the journey to becoming a fully authorised digitally led bank which has been our primary objective for three years.”
“The recent capital raise and sale of Milton Homes will enable us to realise our strategic ambitions for Recognise Bank, namely increasing the size of the loan book with access to funding from depositors through our business and personal savings products.”