J.P. Morgan has begun internally testing a new credit card as part of its UK expansion plans.

The moves come as the company has attracted about GBP 20 billion in deposits since it started its UK retail bank in 2021. The growth has put the UK division on track to become profitable in 2025 and it’s made J.P. Morgan one of the country’s biggest digital banks.

The new credit card will join investment products from J.P. Morgan’s digital wealth-manager Nutmeg on its UK retail app. Nutmeg has attracted over 200,000 customers, which JPMorgan says makes it the largest of these online platforms in the UK.

Building on success in the US J.P. Morgan’s credit card offerings in the US range from fee-free cards like the Freedom Unlimited — offering 1.5 points per dollar spent — to the USD 550-a-year Chase Sapphire Reserve, which offers premium perks on travel and dining. It also has co-brand card partnerships with major retailers including Amazon and United Airlines Holdings.

The lender is also exploring taking over Apple’s credit card portfolio that rival Goldman Sachs Group has been trying to ditch. The company’s existing products have turned J.P. Morgan into one of the world’s largest credit-card issuers, with USD 216 billion in outstanding loans.

In the UK, the company is planning to start out by offering more basic credit cards than what it provides in the US, though the hope is to roll out more options over time, the people familiar with the matter said. Turning a Profit J.P. Morgan expects to turn a profit in its UK consumer division next year, a significant turnaround since its launch in 2021, when it faced projected losses of USD 450 million.

Initially, the bank anticipated a long path to profitability, focusing on managing cash burn and building customer relationships. Unlike its extensive US branch network, J.P. Morgan has used attractive perks, such as high interest on savings and cash back rewards, to attract UK consumers, though it has adjusted some eligibility rules for these rewards.

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