The Bank of London mentioned in its accounts filed on 14 May 2025 that the Prudential Regulation Authority (PRA), the Bank of England’s regulatory arm, is looking into its operations over specific historical matters that happened before a change in ownership of the group.
The same month saw the bank raise GBP 42 million in a funding round led by Luxembourg-based Mangrove Capital Partners. At that time, the Bank of London did not address the winding-up petition, but it stated that the fundraising effort did not relate to it or the recent management changes.
Furthermore, the bank highlighted that it was still too early to estimate how much money it may have to put aside to manage the investigation. Additionally, it aims to continue to cooperate with the PRA, and it rolled out its internal investigation into the issues in question.
Now, auditors show apprehension over the Bank of London’s ability to maintain its operations, with EY mentioning that there were questions regarding the potential fallout of the regulatory investigation and whether the organisation would be able to secure funding in the future.
Commenting on the announcement, representatives from the Bank of London stated that these accounts that are currently under investigation relate to a financial year in which the financial institution operated under different leadership. At this time, the bank is on a comprehensive transformation, intending to advance its operations. Also, existing investors are set to offer a further GBP 25 million in funding if needed.
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