BaaS platform Griffin becomes the latest UK challenger to secure a banking licence

By Oliver Smith on Tuesday 7 March 2023

Digital Banking

With over £19m in funding, Griffin can now officially call itself a bank.

BaaS platform Griffin becomes the latest UK challenger to secure a banking licence
Image source: David Jarvis (right)/Griffin.

Ten months after submitting its banking licence application, banking-as-a-service (BaaS) provider Griffin was today authorised by the PRA and the FCA to operate with restrictions.

The milestone means that Griffin is now officially operating as a bank, meaning it can begin holding a limited amount of deposits and start to offer payment services.

Unlike many consumer or SME challengers, Griffin’s BaaS platform is designed to provide fintechs with access to all the UK's payment rails, bank accounts, debit cards, an integrated ledger, and customer onboarding automation.

“This moment has been years in the making,” said David Jarvis, CEO and co-founder of Griffin.

“Becoming a bank is testament to the determination of our team, who have been tirelessly building a modern core banking system, a resilient operational backbone and a robust compliance framework. This will enable us to deliver an exceptional banking platform for the UK fintech community.”

Pre-banking licence Griffin has already made solid progress with a partnership with 11:FS to help launch its Verify customer onboarding solution and a first customer win with embedded finance Liberis.

“Griffin’s proposition is to offer a suite of banking products that will help embedded finance platforms like Liberis deliver more value to small businesses and differentiate our proposition in a competitive market,” said Rob Straathof, CEO of Liberis.

“We’re thrilled to be an early adopter of Griffin.”

Last year Griffin raised £12.5m in a round led by Notion Capital during 2022’s challenging funding environment, and before that raised £6.5m in 2020 from EQT Ventures.

Sign up for our newsletters

Your daily 7am download of all things alternative finance and fintech.

Fintech and alternative finance headlines with an exclusive Editor's Note each week. Delivered Monday at midday.

AltFi's new weekly US newsletter breaking down the ins and outs of America's burgeoning fintech sector. Delivered Monday 9am EST/ 6am PST.