‘Dual squeeze’: FCA Approvals for e-money Licences Plummet

Published on: 13/05/2026 00:00

Fresh figures have highlighted e-money and payment firm authorisations have plummeted over the last 5 years. 

As reported in City AM, our analysis of an FOI found authorisations have fallen 80% since 2020, from 171 to just 35 in 2025. 

Muj Malik, Associate Partner at Pathlight Associates told City AM “a dual squeeze” on the sector driven by “commercial pressure from a more saturated market, and regulatory pressure from more demanding oversight” has led to the EMI licence no longer being “widely perceived as an easier entry point into the UK financial services sector.”

Read the full article published here.