City of London Group’s Recognise Gains Banking License from PRA/FCA

City of London Group's wholly-owned subsidiary Recognise has successfully been awarded a banking licence (authorisation with restriction (AwR)) from the Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA).

The PRA is a United Kingdom financial services regulatory body now supervising around 1,500 financial institutions including banks and insurance companies. The FCA is also a United Kingdom financial regulatory body watching financial firms providing services to consumers.

This licence is a strategic development for City of London Group which it sees a 'major step' in its service of SMEs. Recognise is well advanced in its readiness to meet mobilisation conditions that will lead to the removal of the deposit restriction. It currently expects this could be as early as the end of Q1 2021. 

Phil Jenks, Chairman of Recognise said:" As a new entrant in the UK SME banking market with no legacy book and the latest technology installed, Recognise is strongly placed to deliver on its relationship-based model and differentiated business plan. We have the experience and expertise at our disposal and believe we can play a major role in helping the UK small business sector get back on its feet."

Michael Goldstein, Group CEO said:" This represents a major milestone for the Group in delivering the strategy set out in early 2018. UK entrepreneurs will play a key role in creating and supporting UK economic growth, and to do so they need a banking sector that is aligned to their needs and way of thinking."