Regulators set out views for next phase of Open Banking

The Joint Regulatory Oversight Committee has published its recommendations for the next phase of open banking. Its priorities for the next 5 years cover:

  • levelling up availability and performance
  • mitigating the risks of financial crime – a focus for this year will be improving visibility and understanding around levels of financial crime, and then next year it will work on better data sharing to prevent fraud and financial crime
  • ensuring effective consumer protection
  • improving information flows to third party providers and end users – this will include doing a gap analysis of consistent and definitive payment statuses in Faster Payments and open banking and considering whether to make any changes to error codes requirements
  • promoting additional services – using non-sweeping variable recurring payments as a pilot.

It also gives its thoughts on the open banking future entity. The plan is for the design to be complete by Q3, with transitioning starting before the end of the year.

Emma Radmore