Irish banks unite to take on Revolut with P2P payments app

Ireland’s three largest retail banks—AIB, Bank of Ireland, and PTSB—are joining forces to create Zip Pay, a new mobile payment service. This collaboration aims to directly challenge Revolut in the Irish financial market. The platform will launch in 2025, allowing customers to send, request, and split payments instantly using only mobile phone numbers.

Service Features and Implementation Strategy

Zip Pay will enable customers to send up to €1,000 daily and request up to €500 per transaction. The system will transfer payments directly between accounts without requiring IBAN codes, BIC numbers, or payee setup. The banking group will integrate Zip Pay directly into each bank’s existing mobile application. This approach gives them immediate access to their combined customer base of over five million users.

This initiative effectively revives the previously failed Synch Payments project from 2023. However, the new version will embed directly into banking apps instead of operating as a separate application. Consequently, this integration strategy should generate stronger momentum and easier adoption from launch day.

Automatic Enrollment and Technical Support

Brian Hayes, CEO of the Banking and Payments Federation Ireland, explained their implementation approach: “We will automatically enroll eligible customers in Zip Pay. The service will appear in their personal banking app once it launches. Our system will use mobile numbers from customer contact lists to identify other Zip Pay users. Then, money will transfer seamlessly between accounts.”

The paytech firm Nexi, which previously worked on the Synch app, will provide technical support for Zip Pay. Following the initial launch, the service should expand to other Irish financial institutions that offer IBAN accounts and mobile banking apps.

Competitive Positioning and Market Approach

The Irish banks are leveraging local trust, regulatory clarity, and native app integration to position Zip Pay as a domestic Revolut alternative. Their strategy aims to reclaim market share in everyday payments while offering customers a smooth, bank-backed option. This collaboration represents a significant move by traditional banks to compete with fintech innovators in Ireland’s evolving digital payments landscape.

Furthermore, Zip Pay’s success could influence how traditional banking institutions across Europe approach competition with digital-only financial services. The project demonstrates how established banks can adapt to changing consumer preferences and technological advancements in the financial sector. This development marks an important step in the digital transformation of Ireland’s banking industry and could set precedents for similar initiatives in other European markets.