Flagstone, on of the UK’s largest savings platforms, has reported record-breaking results for 2024, as more savers turned to cash deposits to secure inflation-beating returns. The company’s revenues surged 46% to £55 million, marking its second consecutive year of profitability, while assets under administration (AUA) soared 49% to £16.2 billion.
Flagstone customers collectively earned over £500 million in interest on their savings in 2024, highlighting a shift in how UK consumers are managing their cash. With inflation remaining a concern and investment taxes increasing, more savers sought out competitive interest rates rather than leaving money in low-yielding traditional accounts.
CEO Simon Merchant attributed the platform’s success to the changing economic environment. “In 2024, managing money required careful navigation of inflation, fluctuating interest rates, and significant tax hikes,” he said. “Many savers took proactive steps to ensure their cash worked harder for them.”
Flagstone’s direct-to-consumer (D2C) user base expanded by 55% last year, reflecting growing consumer awareness of the benefits of diversifying savings across multiple accounts. The number of banks on the Flagstone platform increased to 66, offering over 220 savings accounts, ensuring customers had access to consistently competitive rates. As of January 2025, 95% of rates on the platform exceeded the market average, with over a third of available accounts offering returns of 4% AER or more.
Beyond individual savers, Flagstone also saw increasing demand from financial institutions looking to integrate its platform. More banks and fintech firms have partnered with Flagstone to offer enhanced savings products to their customers, taking advantage of the platform’s streamlined technology and data insights.
Flagstone continued to enhance its user experience in 2024 by revamping its Know Your Customer (KYC) process, reducing friction for new customers and improving onboarding efficiency. The company also upgraded its banking partner portal, allowing financial institutions to better track how savers interact with their products.
Looking ahead, Flagstone is focusing on automating more of the savings process, enabling customers to seamlessly move their money into higher-yielding accounts. Following a £108 million investment from Estancia Capital Partners, one of the UK’s largest fintech investments last year, the company is well-positioned for further growth in 2025.
With the UK savings market valued at £1.5 trillion, but much of it earning 2% or less in interest, Flagstone sees a significant opportunity to help more savers achieve better returns in a rapidly evolving financial landscape.
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Having worked as a broker at Investors Intelligence and a multi-asset derivatives broker at MF Global (Man Financial), Richard has acquired substantial experience in the industry. His career began as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson), following internships on the NYMEX oil trading floor in New York and London IPE in 2001 and 2000.
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