Speculation is rife in fintech with regard to which path Monzo will take to its public listing.
The future of the neobank leads this morning’s business headlines, as Monzo is reported to be negotiating with investment banks to prepare its stock market debut, targeting a corporate valuation of +£6bn.
Reports by Sky News cite that Morgan Stanley, though not confirmed, is currently the front running bank to lead Monzo’s public offering, “which could take place as early as the first half next year.”
London or Wall Street?
The choice of IPO destination continues to fuel speculation, as Monzo faces a strategic decision between listing on the London Stock Exchange (LSE) or seeking greater capital exposure via New York’s NYSE or the global Nasdaq exchange.
Market volatility in both London and New York has forced Monzo into a holding pattern, waiting for more stable conditions to emerge.
Positive signals for the UK Treasury have surfaced, with media reports suggesting that London is currently the preferred listing venue for the fintech unicorn.
As part of the Labour government’s economic agenda, the LSE is reviewing its listing rules to reinvigorate IPO activity in the City. The decline in listings has become a mounting concern for the UK economy, with the number of listed enterprises on the LSE falling from 2,500 to 1,700 over the past decade.
In 2024 alone, 88 companies delisted or moved their primary listing away from London, while only 18 new firms joined the exchange.
Revolut Contrasts
A London IPO would represent a more conservative move for Monzo, whose business counts one in five British adults among its customers. A key factor in the decision will be the actions of principal rival Revolut.
In a recent update, Revolut CEO Nik Storonsky stated that the challenger bank favours listing on the US Nasdaq, citing greater liquidity and a more scalable platform for building a global fintech unicorn to rival Silicon Valley’s giants.
As of 2025, both Monzo and Revolut maintain a limited presence in the US, with modest market shares compared to established American digital banks. While Monzo boasts over 11 million users in the UK, its US customer numbers remain undisclosed, pointing to a relatively minor footprint.
Revolut began its US operations in early 2020 and has been gradually expanding its services. As of late 2023, it had nearly one million customers in the US—a small fraction of its global user base of over 50 million.
Cards with Anil and Hoffman
A £6bn valuation is viewed by analysts as conservative, given Monzo’s rapid growth and rollout of new services including savings, investments, pensions, and under-16 accounts.
Monzo reported its first-ever annual profit in the financial year ending March 2024, with a pre-tax profit of £15.4m—a sharp turnaround from the £116.3m loss recorded the previous year. Revenue surged to £880m, more than doubling year-on-year, driven by growing demand for lending products, paid subscriptions, and an expanding customer base.
In 2023, Monzo raised £500m in fresh capital from a group of investors led by Capital G, the venture arm of Alphabet (Google’s parent company). The raise valued Monzo at £4.1bn and was viewed as a pivotal step in strengthening its balance sheet and broadening its international ambitions ahead of a potential IPO.
As Monzo edges closer to a stock market listing, both CEO TS Anil and Chairman Gary Hoffman—renowned for his role in rescuing Northern Rock after the 2008 financial crisis—will come under increasing scrutiny.
City analysts and regulators alike will be watching how the executive team balances investor returns with employee incentives, particularly as early VC backers and long-serving staff seek to cash in through secondary share sales or IPO windfalls. The allocation of IPO rewards will be a test of governance and transparency for Monzo’s leadership as it transitions into the public markets.
