UK-based fintech Cleo, known for its AI-powered budgeting app, has launched its most advanced product to date. Dubbed Cleo 3.0, the new version introduces features such as voice interaction, long-term memory, and improved reasoning capabilities.
Barney Hussey-Yeo, Cleo’s founder and chief executive, said Cleo 3.0 is less chatbot and more “conversational AI money coach.” Users can now have real-time voice conversations with Cleo, which the company says makes financial help feel more natural and accessible.
“Cleo remembers your goals, learns your habits, and delivers personalised financial guidance previously only available to the wealthy,” said Hussey-Yeo, who founded the fintech in 2016.
You connect the app to your bank account, and Cleo uses AI to look at your spending, income, and habits. Then “she” gives you helpful insights, like how much you can afford to spend this week or where you’re overspending.
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The tool now allows users to speak with the assistant, which responds in natural language and draws on past interactions to deliver tailored advice. For example, you can ask, “Can I afford to go out this weekend?” and it’ll give you an answer based on your current balance and bills.
“Cleo 3.0 represents more than just a product update — it signals a shift in what we should expect from financial technology,” said Hussey-Yeo. “The AI revolution won’t be defined by who builds the largest models, but by who applies intelligence to solve the hardest, most human problems.”
The app is powered by OpenAI’s o3 model and uses chain-of-thought reasoning to break down complex financial decisions. Cleo claims its user engagement is 20 times higher than that of traditional banking apps.
The company expects to exceed 1 million paid subscribers this year, with annual recurring revenue (ARR) reaching $250mn — an 82% increase on 2024. However, Hussey-Yeo said in a LinkedIn post last week that “$500mn ARR is around the corner.”
The founder also dangled the possibility of the company going public. “So, London or NYC for the IPO?” he wrote.