Following the current criticisms of the executives of Microsoft and Revolut in opposition to the UK regulators, Russ Shaw, the Chief of Tech London Advocates, hits again to the tech giants saying the nation’s regulators “roll over and play useless.”
“I believe this can be a good sign that our regulators should not simply going to roll over and play useless, however they’re going to take their job severely and scrutinize,” Shaw advised CityAm. “In the event that they don’t like one thing, whether or not it’s the financials or the best way an enormous tech participant is behaving, I believe it’s necessary that they communicate out.”
Two Tech Giants Criticize UK Regulators
The criticisms from the 2 tech firms got here because the UK regulators scrapped their plans. Microsoft was hit with the Competitors and Markets Authority’s choice to dam the merger with Activision Blizzard, a online game firm, elevating issues of hampering competitors within the cloud gaming market. Nevertheless, the antitrust our bodies within the US and the European Union cleared the deal.
Revolut, alternatively, just isn’t going to obtain its long-awaited banking license within the UK, for which it utilized in 2021. Although there isn’t a official affirmation of the licensing choice, Telegraph reported that the Prudential Regulation Authority (PRA) is because of reject the appliance over fears of the corporate’s accounts.
Certainly, Revolut is dealing with a extreme backlash as its auditor, BDO, couldn’t confirm three-quarters of the income reported by the fintech in its delayed 2021 accounts. The corporate grew to become worthwhile final yr with a pretax revenue of £59.1 million on income of £636.2 million.
Mikko Salovaara, Revolut’s Chief Monetary Officer, who was assured about receiving a UK banking license, additionally left the corporate lately. Nevertheless, he cited private causes behind his exit. In the meantime, Revolut is now contemplating making use of for an Australian banking license.
Is the UK a foul place to do enterprise should you’re in tech?
Revolut will withdraw its banking license software. Revolut’s CEO claimed the banking disaster spooked regulators. Earlier this month, the Revolut CFO give up citing “private causes.”
This follows the UK denying…
— Simon Taylor (@sytaylor) Might 20, 2023
Revolut’s founder, Nikolay Storonsky, hit the PRA and the Monetary Conduct Authority with many criticisms and even in contrast the UK with the US tech regulatory area.
“US tech champions are so supported by the federal government: all of the lobbyists, politicians, governors, they all the time promote enterprise, enterprise, enterprise, and it’s utterly the alternative within the UK,” Storonsky stated in an interview with The Instances. “We have now skilled a slowing down. You by no means know what must be accomplished right here.”
The Foyer Head Is Going with Regulators
Nevertheless, in line with Shaw, the UK regulators are exhibiting their strengths following the nation’s exit from the European Union. He additional added that the regulators have the intention of “getting firms to behave sensibly and responsibly, and [to] have some accountability.”
In the meantime, the UK’s regulatory backlash in the direction of fintech doesn’t align with the nation’s massive plan to spice up the sector. Earlier, the UK authorities got here up with a plan to advertise the nation as a fintech hub.
Following the current criticisms of the executives of Microsoft and Revolut in opposition to the UK regulators, Russ Shaw, the Chief of Tech London Advocates, hits again to the tech giants saying the nation’s regulators “roll over and play useless.”
“I believe this can be a good sign that our regulators should not simply going to roll over and play useless, however they’re going to take their job severely and scrutinize,” Shaw advised CityAm. “In the event that they don’t like one thing, whether or not it’s the financials or the best way an enormous tech participant is behaving, I believe it’s necessary that they communicate out.”
Two Tech Giants Criticize UK Regulators
The criticisms from the 2 tech firms got here because the UK regulators scrapped their plans. Microsoft was hit with the Competitors and Markets Authority’s choice to dam the merger with Activision Blizzard, a online game firm, elevating issues of hampering competitors within the cloud gaming market. Nevertheless, the antitrust our bodies within the US and the European Union cleared the deal.
Revolut, alternatively, just isn’t going to obtain its long-awaited banking license within the UK, for which it utilized in 2021. Although there isn’t a official affirmation of the licensing choice, Telegraph reported that the Prudential Regulation Authority (PRA) is because of reject the appliance over fears of the corporate’s accounts.
Certainly, Revolut is dealing with a extreme backlash as its auditor, BDO, couldn’t confirm three-quarters of the income reported by the fintech in its delayed 2021 accounts. The corporate grew to become worthwhile final yr with a pretax revenue of £59.1 million on income of £636.2 million.
Mikko Salovaara, Revolut’s Chief Monetary Officer, who was assured about receiving a UK banking license, additionally left the corporate lately. Nevertheless, he cited private causes behind his exit. In the meantime, Revolut is now contemplating making use of for an Australian banking license.
Is the UK a foul place to do enterprise should you’re in tech?
Revolut will withdraw its banking license software. Revolut’s CEO claimed the banking disaster spooked regulators. Earlier this month, the Revolut CFO give up citing “private causes.”
This follows the UK denying…
— Simon Taylor (@sytaylor) Might 20, 2023
Revolut’s founder, Nikolay Storonsky, hit the PRA and the Monetary Conduct Authority with many criticisms and even in contrast the UK with the US tech regulatory area.
“US tech champions are so supported by the federal government: all of the lobbyists, politicians, governors, they all the time promote enterprise, enterprise, enterprise, and it’s utterly the alternative within the UK,” Storonsky stated in an interview with The Instances. “We have now skilled a slowing down. You by no means know what must be accomplished right here.”
The Foyer Head Is Going with Regulators
Nevertheless, in line with Shaw, the UK regulators are exhibiting their strengths following the nation’s exit from the European Union. He additional added that the regulators have the intention of “getting firms to behave sensibly and responsibly, and [to] have some accountability.”
In the meantime, the UK’s regulatory backlash in the direction of fintech doesn’t align with the nation’s massive plan to spice up the sector. Earlier, the UK authorities got here up with a plan to advertise the nation as a fintech hub.
