Monzo, the digital bank, has reported its first annual profit of £15.4 million since its launch nine years ago. With nearly 10 million customers, the bank saw customer deposits soar 88% to £11.2 billion as it rolled out new features like cash ISAs.
Benefiting from higher interest rates, Monzo is now preparing to expand into the US and Europe, with plans to open an office in Dublin. Despite the profitability, expected credit losses increased 75% to £176.9 million due to a growing lending book and customers falling into arrears. The CEO remains optimistic about Monzo's future growth, citing the increasing demand for tech-driven financial management.
