The FCA has published its Regulatory Priorities report in respect of the Payments sector. Its priorities are:
- preparing to support effective growth, competition and innovation in future, including on open banking, stablecoins and generally modernising payments regulation;
- ensuring firms implement the Consumer Duty effectively – it plans to reinforce its expectations, and its focus areas will include international payment pricing transparency and how firms treat customers in vulnerable circumstances;
- protecting financial system integrity specifically focusing on financial crime prevention, and expecting firms to invest as necessary in operational resilience; and
- keeping customer money safe – with effective governance arrangements, safeguards and controls. It stresses firms should be ready to comply with the new safeguarding rules taking effect in May. The FCA accepts it might see an increase in “adverse” audit opinions in the immediate aftermath of the strengthened standards.