Clearbank Records Explosive Growth as Fintech Partners Revolut and Coinbase Expand Operations
The banking infrastructure provider Clearbank has experienced a remarkable surge in deposits and revenue throughout 2025, reaching unprecedented levels as its major clients, including Revolut and Coinbase, continue to expand their user bases and services. Deposits at Clearbank skyrocketed by an impressive 65 percent last year, climbing to a substantial £17.8 billion. This significant growth is directly linked to the onboarding of new clients such as the money transfer platform LemFi and the credit card business Capital on Tap, alongside the sustained expansion of existing partners.
Strategic Partnerships Drive Financial Performance
Clearbank, which launched in 2017 to offer banking infrastructure and embedded services to challenger banks and fintech firms, has solidified its position as a critical backbone for the digital finance sector. The company's fee income soared by 38 percent year-on-year, increasing from £44.2 million in 2024 to £60.9 million in 2025. This surge is attributed to the millions of new users signing up with Clearbank's clients, which automatically boosts deposits. Clearbank then generates interest on this massive pool of shared cash while charging fees for every transaction processed in the background.
Interest income also saw a healthy increase of six percent, reaching £71 million in the last year. Clearbank's management highlighted that this growth was "underpinned by our strategic partnership with Revolut, continued relationships with Tide and Truelayer, and extended partnerships with Coinbase and LemFi." Notably, Coinbase, which initially partnered with Clearbank in October 2019, launched the digital asset sector's first integrated fiat savings account powered by Clearbank, further cementing their collaboration.
Revolut's Banking Licence and Competitive Landscape
The continued expansion of Revolut has positioned Clearbank for further growth, as Clearbank serves as the key provider of instant access savings accounts to Revolut's UK customers. Following Revolut's acquisition of a banking licence earlier this year, industry analysts predict it could trigger a "deposit war" with traditional giants like Natwest and Lloyds, targeting their £2.5 trillion in deposits. Mark Fairless, group chief executive at Clearbank, described Revolut as a "fantastic UK success story" but noted he does not expect their new licence to clash with the partnership, due to Revolut's focus on "consumer propositions."
On a broader competitive scale, Fairless observed, "I am seeing more businesses that wouldn't traditionally offer financial services using our embedded banking proposition to enter the market. This is a huge growth area for us, both within and outside the traditional financial services sector." Clearbank launched a new embedded banking proposition last year, allowing non-financial businesses to integrate fully regulated and protected bank accounts onto their platforms. This move places Clearbank in direct competition with industry giants like Natwest's banking-as-a-service arm, Natwest Boxed.
Financial Results: UK Profitability vs. European Losses
In the UK, Clearbank achieved a pre-tax profit of £12.2 million, marking a 53 percent increase from the previous year. Revenue for the UK entity rose by 17 percent to £128.4 million, reflecting strong performance in its home market. However, the European division reported persistent losses of €15.1 million (£13.4 million), as the cost base in the region reached £15.8 million. Management stated that these costs align with expansion plans to build out infrastructure and increase headcount in Europe.
Fairless commented on the overall results, stating, "The bottom-line results for 2025 were actually ahead of our expectations," and defined the year as one of "heavy investment." He added, "We expect to reach group-level profitability in the near to medium term. I wouldn't want to provide an exact date just yet, but the growth across both markets is very promising." This outlook underscores Clearbank's confidence in its strategic direction and the robust growth trajectory driven by its fintech partnerships.
