Monzo losses narrow as revenue booms 90% and auditors drop uncertainty warning

UK neobank Monzo saw revenue soar 90 per cent in the year ending March 2022, helping to narrow its losses to £119m from c.£130m the previous year.

The figures come from Monzo’s annual report which outlined a number of statistics showing the bank’s growth strategy is paying off despite also showing costs incurred by Monzo increased 30 per cent mainly due to a hike in staff numbers.

In the full year figures (the twelve months up to March 2022) Monzo banked £150m of revenue as its paid-for account numbers continued to increase.

Monzo more than doubled the combined number of business customers and those paying for its two paid-for subscription packages, Plus (£5 per month) and Premium (£15) to 430,000.

In a win for its CEO TS Anil (pictured), Monzo’s auditors EY also dropped the ‘material uncertainty” warning it issued in Monzo’s last two annual reports of the bank’s ability to operate as a ‘going concern.

Anil said in a statement alongside the report that the revenue run rate is continuing to grow quickly with June 2022 suggesting an annual £270m of revenue. 

"Our brand transcends financial services as we remain one of the most-loved brands in the UK in any sector. After seven years, we’re still an industry leader on customer loyalty, NPS and service levels. This is genuinely exceptional and something that personally, I’m really proud of," he said.

It is now two years since Anil took over from Tom Blomfield,Monzo’s founder and former CEO.