The Polish banking sector underwent profound reforms and new regulatory obligations in 2025. Despite achieving record financial results, banks were faced with mounting tax pressures and changes in benchmarks, as well as the implementation of EU regulations concerning operational security, anti-money laundering, digital payments, the use of artificial intelligence, environmental issues, ESG reporting and green transformation. Against this backdrop, we also observed market consolidation, partly driven by growing competition from new banks. In this article, we explore how these factors have transformed the Polish financial institution market.