JPMorgan Chase expects to lose more than $1bn in the next few years on its new digital-only international consumer bank that began operations in the UK last year. The bank hopes the digital business will break even by 2027 or 2028.
The projected losses represent a sliver of earnings at the bank, which generated $125bn in revenues last year. But they are meaningful at a time when its spending plans on new investments are under pressure from investors. The expansion into international consumer banking in particular was a subject of shareholder criticism at a meeting Dimon and his management team held with large investors in February, the Financial Times has reported.