Moneycorp plots complete withdrawal from retail as fintech giant shifts focus to payments and banking
Fintech giant Moneycorp plans to exit from its last remaining retail branches at Gatwick Airport.
“Today’s announcement marks an end to the group’s retail franchise and an important step in its evolution from a UK foreign exchange business to a global payments and banking services provider,” the company said in a statement sent to City PM
Since 2014, Moneycorp gradually exited its retail operations, closing 77 branches including sites at Oxford Street, Heathrow Airport and Stansted Airport.
Transformation
Over the last eight years, Moneycorp has transformed its business from a largely domestic, consumer focused, analogue provider of foreign exchange to an international, digitally enabled, B2B currency solutions provider.
In 2014, the retail business accounted for 57 per cent of income, with 98 per cent derived from domestic UK revenue streams.
Today, Moneycorp’s income is predominately derived from payments and banking services, with 84 per cent B2B and 65 per cent from international revenue streams, the company disclosed.
“Moneycorp continues to adapt to the evolving needs of our customers in a rapidly changing and increasingly digital environment,” said Moneycorp CEO Mark Horgan.
“The retail business has been an important part of our business for many years, and it has been an honour to work with such a dedicated and hardworking team of colleagues, all of whom have made a significant contribution to Moneycorp,” he explained.
However, “Moneycorp’s future is firmly rooted in payments and banking solutions. We continue to see a significant increase in demand from SME clients and financial institutions looking for a trusted, scale partner to provide sophisticated currency solutions for their businesses around the world,” Horgan added.
“As a fintech with a banking licence, Moneycorp is uniquely positioned to take advantage of the clear untapped potential in these markets. We are entering our next phase of growth with great momentum and are well-set to keep building on our success,” he concluded.
From today, a joint venture between Prosegur Cash and The Change Group will take over operations at Gatwick Airport. As a result, 45 colleagues will transfer under TUPE to The Change Group, Moneycorp confirmed.