The big promise of new financial groups such as N26, Revolut and Monzo was that they would disrupt staid retail banking empires that took decades to build. But the funding bonanza has come to a stop as interest rates have risen and doubts about the business models of these “challenger” banks started to mount.
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High hopes, rocky realities: Europe’s new banks struggle to grow up
“Without any doubt, neobanks are currently facing extreme challenges,” said Max Flötotto, a senior McKinsey partner who advises the sector.
