Zopa bank raises €80m ahead of current account launch

By Gloria Methri

Zopa has raised €80 million (GBP 68 million) in an equity funding round led by A.P. Moller Holding, with participation from existing investors. The funding will support Zopa’s growth as it prepares to launch its flagship current account in 2025 and a GenAI proposition that aims to transform how people interact with their money.

Some of Zopa’s innovations enable customers to improve their financial health, gain access to better-priced credit, access market-leading saving products, and transfer card balances in a way that helps pay down credit faster.

It recently partnered with Britain’s largest electricity supplier, Octopus Energy, to enter the UK’s £23 billion renewable energy market and with retail giant John Lewis to offer personal loans directly to its 23 million customers.

Jaidev Janardana, CEO at Zopa Bank, said, “Today’s fundraise validates our financial performance and growth potential. Since launching our bank in 2020, we’ve consistently offered financial products that offer great value and ease to our customers, supporting our vision to build Britain’s best bank. We are thrilled to have investors who share our excitement at the opportunity to serve more customers across more product categories as we aim to become the go-to bank for millions of consumers.”

Chetan Mehta, Head of Growth Equity at A.P. Moller Holding, added, “We are excited to support Zopa on its journey to revolutionise the UK’s financial services industry. Zopa’s remarkable customer-centricity enables it to deliver lasting value and a positive impact on the financial lives of millions of UK consumers. Today’s investment also reflects our confidence in Zopa’s robust and profitable business model that aligns with our commitment to sustainable, long-term growth.”

Zopa blends the agility of digital banking with 20 years of lending expertise, having lent more than £13 billion to consumers in the UK to date. Since launching its bank in 2020, Zopa has attracted more than £5 billion in deposits and currently has £3 billion in loans on its balance sheet. It has close to 850 employees and one of the highest employee satisfaction scores in the UK FinTech industry.