A pocket money app created by three parents outside a school gate has been acquired by Barclays in a deal understood to be worth about £180 million, marking another step in the bank’s drive to expand its retail banking reach.
Barclays confirmed on Friday that it is buying the UK operations of GoHenry, a digital banking platform and prepaid debit card service designed to help children aged six to 18 learn money management skills. The app, used by more than 500,000 children in the UK, also offers junior ISAs and financial education tools.
GoHenry was founded in 2012 by Louise Hill and two fathers who came up with the idea after noticing their children making unintended digital purchases, including charges on services such as iTunes. Those costs only became apparent later through bank statements. The service was named after the first child to test its debit card.
Hill has remained with the company since its founding, while her co-founders have since stepped away. The business was later acquired by US fintech Acorns in an all-share deal three years ago, after previously raising early funding through crowdfunding platform Crowdcube.
Acorns is now selling the UK arm to Barclays while retaining GoHenry’s US operations and its European brand Pixpay. Although neither company disclosed the transaction value, Barclays said the acquisition would reduce its core capital ratio by around five basis points, a figure analysts estimate implies a valuation close to £180 million.
The deal is expected to complete in the final quarter of the year, subject to regulatory approval. Barclays said it will keep the GoHenry brand and operate it as a standalone app within its wider retail banking ecosystem.
GoHenry is not yet profitable. Its most recent accounts show pre-tax losses narrowing to £21.9 million in 2024, down from £48 million the previous year. Despite this, the platform claims more than two million children have used its services since launch.
Barclays UK chief executive Vim Maru said the acquisition will strengthen its family banking strategy. He described GoHenry as a tool that will help “turbocharge” services for households and support customers through key financial stages, from first accounts to long-term savings.
The move reflects a wider trend among high street banks to target younger users. Rivals have already made similar moves, including NatWest’s purchase of Rooster Money, which analysts say has helped significantly expand its youth customer base and improve long-term retention rates.
For banks, children’s financial apps are increasingly seen as a way to build customer relationships early, with the aim of retaining them into adulthood. Research cited within the sector suggests strong demand for financial education tools among young people and parents alike.
Hill said the deal would allow GoHenry to reach more families and extend financial education beyond childhood. She added that the partnership with Barclays could support a smoother transition for users as they move into adult banking services.
