United Kingdom: Islamic banks and finance
Checked on October 12, 2026
The UK adapted its tax rules to “alternative finance” from 2003 (stamp duty) and through the Finance Acts of 2005 to 2007, and the government issued sovereign sukuk in 2014 and 2021; banks and lenders are authorised by the PRA and the FCA under the standard rules. The sector was worth about £5.6bn in 2025 and counts around twenty institutions, including a handful of fully Islamic banks (AlRayan Bank UK, Gatehouse Bank, BLME, QIB UK). In 2026 home purchase plans (HPPs) for the general public come mainly from Gatehouse Bank and from non-bank lenders such as StrideUp and Offa, while AlRayan Bank now restricts its home finance to Premier clients. ADIB UK has wound down its regulated banking business, and takaful insurance for individuals remains almost non-existent.
The 12 providers
-
AlRayan Bank UK
Islamic bank- Group
- AlRayan Bank QPSC (Qatar)
- Since
- 2004
- Supervision
- PRA/FCA
- Products
- Current account, Savings, Home finance, Business
- Contracts
- Ijarah, Diminishing musharakah
Formerly Islamic Bank of Britain (renamed Al Rayan Bank in 2014), the bank focuses in 2026 on structured real estate and Premier banking, servicing its legacy HPP and buy-to-let plans for existing customers only.
-
Gatehouse Bank plc
Islamic bank- Group
- Gatehouse Financial Group
- Since
- 2008
- Supervision
- PRA/FCA
- Products
- Savings, Home finance, Business
In October 2026 the bank offers home purchase plans to new customers, buy-to-let finance and savings accounts paying an expected profit rate.
-
Bank of London and The Middle East plc (BLME)
Islamic bank- Group
- Boubyan Bank (Koweït)
- Since
- 2007
- Supervision
- PRA/FCA
- Products
- Savings, Home finance, Investments, Business
A subsidiary of Kuwait’s Boubyan Bank, BLME mainly serves wealth and business clients in 2026 (private banking, property finance, deposits) and runs the digital bank Nomo.
-
Nomo
App or digital bank- Group
- BLME / Boubyan Bank
- Since
- 2021
- Supervision
- PRA/FCA
- Products
- Current account, Card, Savings, Home finance
A trading name of BLME, Nomo opens UK accounts for international customers but is not available to UK residents as of October 2026.
-
QIB (UK) plc
Islamic bank- Group
- Qatar Islamic Bank (QIB)
- Supervision
- PRA/FCA
- Products
- Current account, Savings, Home finance, Business
In 2026 QIB UK offers Islamic private banking for high-net-worth clients and structured real estate finance for investors.
-
UBL UK (Ameen)
Islamic window- Group
- United Bank Limited (Pakistan)
- Supervision
- PRA/FCA
- Products
- Current account, Savings
UBL UK’s Ameen Islamic range consists of accounts without overdrafts overseen by a Sharia adviser, with a schedule of charges revised in April 2024.
-
StrideUp
Finance company- Supervision
- FCA
- Products
- Home finance
- Contracts
- Diminishing musharakah
A non-bank lender offering home purchase plans and buy-to-let finance, StrideUp completed a securitisation in 2025 (Meridian Funding 2025-1) to refinance its plans.
-
Offa
Finance company- Supervision
- FCA
- Products
- Home finance, Business
Initially focused on Sharia-compliant bridging and buy-to-let finance, Offa launched home purchase plans for individuals in February 2026.
-
Wahed UK
Broker or adviser- Group
- Wahed
- Supervision
- FCA
- Products
- Investments
In 2026 Wahed offers Sharia-compliant portfolios, an ISA, personal and workplace pensions and physical gold in the UK.
-
Cur8 Capital
Broker or adviser- Group
- Islamicfinanceguru Limited (IFG)
- Supervision
- FCA
- Products
- Investments
A trading name of IFG.VC Limited, an FCA-authorised subsidiary of Islamic Finance Guru, Cur8 provides access in 2026 to screened private funds, some of them IF-ISA eligible.
-
Ummah.finance
App or digital bank Activity to be confirmed- Supervision
- FCA
In October 2026 the website presents itself as Sharia-compliant instalment infrastructure for merchants; neither a consumer offer nor its authorisation could be confirmed.
-
Salaam Halal Insurance
Takaful insurer Activity to be confirmed- Supervision
- FCA
This broker of insurance marketed as halal no longer has a reachable website in October 2026 and its activity could not be confirmed.
Closed or discontinued
ADIB (UK) Limited
ADIB UK has withdrawn its regulated banking business: all accounts have been closed and unclaimed balances moved to a trust account, leaving only a commercial real estate advisory activity in 2026.
Before you commit
- Ask for the names of the Shariah board members and their published rulings on the product.
- Check that the provider is authorised by the country’s regulator.
- Compare the total cost, not just the monthly payment: the calculators in this section can help.
- Read the contract: who owns the property, who bears the risk, late-payment charges and where they go.