Monzo in talks over £10bn sale to Nubank, report says

Monzo, one of Britain's most prominent digital banks, is in talks about a possible sale to Nubank at a valuation of about £10 billion, according to a Sky News report.

A deal at that level would be a landmark for the UK's challenger banking industry, which has spent years trying to turn rapid customer growth into consistent profit. Monzo has built a large retail following around app-based current accounts and lending, while Nubank has expanded into one of Latin America's most valuable financial technology groups and trades publicly in the United States.

Neither company has confirmed the discussions, and talks at this stage do not guarantee an agreement. A transaction of this size would probably attract scrutiny from UK regulators, given the number of customers involved, and the terms could still change or the process could end without a deal.

The report did not set out a timetable or structure for any agreement. Even so, a sale at roughly £10 billion would draw close attention from investors across European fintech, who have waited for signs that scale in digital banking is once again something buyers are willing to pay for.