Digital Bank Zopa has raised £68 million in an equity funding round.

The bank said that the investment will be used to support its ongoing growth as it looks to launch a “pioneering genAI proposition” designed to reinvent how people interact with money next year.

The funding also comes ahead of the rollout of its flagship current account in 2025.

The money raise was led by A.P. Moller Holding, one of the largest direct investors in Denmark with $32 billion of Net Asset Value.

In October, Zopa announced it was partnering with the financial services arm of John Lewis to offer personal loans to the retailer’s 23 million customers.

The move will see Zopa embed its digital-first personal loan product on the John Lewis Money website, expanding the department store’s existing personal finance options.

Zopa, which has a full banking licence, has also recently partnered with Britain’s largest electricity supplier Octopus Energy to tap into the UK’s £23 billion renewable energy market.

“Today’s fundraise validates our financial performance and growth potential," said Jaidev Janardana, chief executive, Zopa Bank. "Since launching our bank in 2020, we’ve consistently offered financial products that offer great value and ease to our customers, supporting our vision to build Britain’s best bank."

Zopa, which currently has 1.3 million UK customers, achieved its first full year of profitability in 2023, swinging to a pre-tax profit of £15.8 million.

Since its launch four years ago, it has attracted more than £5 billion in deposits and currently has £3 billion loans on balance sheet.

---