UK’s digital bank Zopa has reported solid performance for 2024, doubling its full-year profit before tax to £34.2 million, up from £15.8 million in 2023.
This milestone, announced on April 24, 2025, marks the Zopa bank’s second consecutive year of profitability, underscoring its robust growth trajectory since transitioning from its roots as the world’s first peer-to-peer (P2P) lending platform.
With a 30.2% revenue increase to £303.4 million and a customer base expansion to 1.4 million, Zopa is cementing its position as a digital bank in the UK.
As it prepares to launch a flagship current account in 2025, Zopa is poised to enhance everyday banking for its growing clientele.
Founded in 2005, Zopa improved finance by introducing the P2P lending model, connecting individual lenders directly with borrowers to bypass traditional banks.
This innovative approach offered better rates for borrowers and attractive returns for investors, processing over £6 billion in loans by 2021.
Operating from its Buckinghamshire base, Zopa navigated the 2007–2008 financial crisis with resilience, maintaining investor capital.
By 2016, Zopa had securitized its first loan portfolio and lent over £2 billion, establishing itself as a trusted name in UK finance.
In 2020, Zopa secured a full banking license, launching Zopa Bank to expand beyond P2P lending.
This pivot introduced deposit accounts, credit cards, and personal loans, all managed through a user-friendly mobile app.
The bank’s focus on simplicity and fairness—eliminating hidden fees and leveraging technology for seamless experiences—resonated with consumers.
By 2021, Zopa had attracted £250 million in fixed-term savings and become a top ten credit card issuer, setting the stage for its ambitious growth.
The 2024 financial results highlight Zopa’s operational resilience.
Its deposit base surged 62.5% to £5.5 billion, while loans on balance sheet grew 16.2% to £3.1 billion.
A cost-to-income ratio of 37.7% reflects Zopa’s efficiency, even amidst a challenging UK economy marked by inflation and cost-of-living pressures.
CEO Jaidev Janardana attributed the success to Zopa’s customer-centric model, stating,
“We grew our customer base to 1.4 million, achieved over 30% revenue growth, and doubled our profit before tax.”
Strategic partnerships with Octopus Energy and John Lewis further expanded Zopa’s reach, tapping into renewable energy and retail lending markets.
Looking ahead, Zopa is set to launch its Zopa Bank Account in 2025, aiming to offer a “best all-around value” current account with zero hassle.
This move will position Zopa alongside fintech rivals like Monzo and Starling Bank, emphasizing intuitive money management and competitive savings rates.
Additionally, Zopa is testing an AI financial assistant to provide personalized loan and savings recommendations, with a beta release planned for 2025.