Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

London IPO market could thrive as US instability mounts, says Zopa chief

by April 21, 2025
April 21, 2025
London IPO market could thrive as US instability mounts, says Zopa chief

The head of Zopa has suggested that London’s political and regulatory stability could become a competitive advantage for the capital’s financial markets, as businesses increasingly look to escape growing uncertainty in the United States.

Jaidev Janardana, chief executive of the digital bank, said concerns around a volatile tax and tariff regime in the US had prompted his company to reconsider the appeal of listing in New York. “I would be surprised if that’s not the case more generally as well,” he added, referring to other globally-minded businesses.

Zopa, which achieved unicorn status with a $1 billion valuation in its last funding round, has long been considered a strong IPO contender. However, Janardana made clear that the current climate made a flotation unlikely in 2025, noting that “an IPO is not a priority” while market sentiment remains subdued.

Even so, he struck an optimistic tone about the prospects for a future listing, possibly as early as next year. “I’m optimistic that maybe [at the] back end of this year, maybe early next year, things will start to look better for UK-listed companies,” he said.

London’s reputation for rule of law and political predictability could become increasingly important for firms navigating geopolitical turbulence, Janardana suggested. “Respect for rule of law [is] some of the things people will start to appreciate more, given the way the world is going.”

Despite Zopa’s international investor base – which includes Japanese investment giant Softbank – Janardana said the UK focus of the business makes a London IPO more logical. Still, he added, “we’ll keep our options open”.

He welcomed recent reforms aimed at making the City more competitive but warned that companies themselves must take responsibility for restoring confidence in London listings. “Part of the reason why some of the UK IPOs have struggled is that companies haven’t delivered on the expectations that were there,” he said.

Founded in 2005 as the world’s first peer-to-peer lending platform, Zopa transitioned to a fully-fledged bank in 2020. Today, it offers personal loans, savings products and credit cards to over 1.3 million customers, and holds more than £5 billion in deposits. In 2023, it posted a maiden pre-tax profit of £15.8 million, supported by rising net interest income.

Its latest financial results are due to be published on Thursday. In December, the company secured £68 million in new capital from investors including AP Moller Holding, the owner of Maersk. Janardana confirmed that Zopa does not anticipate returning to the market for further fundraising until at least next year.

While the bank has benefited from higher interest rates, Janardana said a cut in borrowing costs would be welcome if it encouraged consumer demand. “Appetite for borrowing has been weaker since the start of the year,” he noted, pointing to lower confidence and the knock-on effects of employer national insurance hikes, which he said had dampened wage growth expectations.

Addressing concerns over the economic impact of potential Trump-led US tariffs, Janardana struck a surprisingly upbeat note. He argued that the inflationary impact on the UK would be minimal, and might even have a deflationary effect. “Higher levies that might be applied to other countries could make trade between Britain and other markets easier and cheaper,” he said.

Read more:
London IPO market could thrive as US instability mounts, says Zopa chief

0
FacebookTwitterGoogle +Pinterest
previous post
China warned against dumping US bonds as retaliation for Trump tariffs
next post
Equities? Fuhgeddaboudit! Alternative Assets are Leading

You may also like

How to increase productivity from your workforce

February 18, 2025

Regional hiring slumps as Labour’s NI rise dents...

January 14, 2025

Post Office Scandal compares to IR35 scandal

January 11, 2024

F1 design legend Adrian Newey joins Aston Martin...

September 10, 2024

Digital Tools for Boosting SME Efficiency Safely

February 7, 2025

MPs Warn Sunak’s £1bn Rural Mobile Network Plan...

May 29, 2024

Floral Bridesmaid Dresses: The Perfect Choice for Garden...

April 28, 2025

The Integral Role of Booking Engines in Modern...

April 18, 2024

Poundland faces stock shortages as big brands tighten...

July 11, 2025

‘Stealth taxes’ dragging 6.5m taxpayers into higher tax...

May 21, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Japan calls axis of China, Russia, North Korea the ‘gravest threat’ to global order since WWII

      July 16, 2025
    • Congress considers permanent national park fee increase for international visitors

      July 16, 2025
    • RFK Jr. fires 2 top aides at HHS in staff shakeup

      July 16, 2025
    • Inside the Business Model of Casino Companies: How They Keep Growing

      July 16, 2025
    • Comparing the Best Funded Trader Programs by Trading Style

      July 16, 2025
    • Iran’s leader threatens ‘even bigger blow’ against US, Trump says he’s in ‘no rush’ to talk

      July 16, 2025

    Categories

    • Business (8,499)
    • Investing (2,123)
    • Politics (16,070)
    • Stocks (3,211)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved