EBA is consulting on draft RTS addressing how to determine whether there should be a central contact point under PSD2 and what the functions of that contact point should be. Host member states have the option to require...
Category - Payment Services & Electronic Money
WFE encouraged by Commission consultation on FinTech
The World Federation of Exchanges said it was encouraged by the Commission’s consultation on FinTech as it believed that it was important to get policy right in this area to avoid the rush to regulate. These...
FIN. TeamFaster Payments launches Trust Service that will potentially cut the cost for challenger banks and others of obtaining the services that are essential to securely access the UK’s payments systems
In order to be able to access customer-sensitive data needed to use Faster Payments, participants need to have the use of a Public Key Infrastructure (PKI) Trust Service, which manages the digital certificates that are...
ECB to develop a service for the settlement of instant payments by end of 2018
The Governing Council of the ECB has decided to develop a new service for the settlement of instant payments. The new service, TARGET instant payment settlement (TIPS), will enable citizens and firms to transfer money...
John Griffith – Jones leaving the FCA
John Griffith – Jones has confirmed that he will leave both the FCA and the PSR at the end of his term of office on 31 March 2018.
BOE speaks on effects of ring-fencing for customers
In a speech by James Proudman (Executive Director, UK Deposit Takers Supervision, Prudential Regulation Authority, Bank of England), it was discussed that the key component of the ring-fence is to provide...
FCA updates on sandbox
FCA has updated information on its regulatory sandbox. It says the sandbox’s popularity is increasing and larger numbers of firms both applied for and were accepted for testing in cohort 2. FCA has named the 24...
Emma RadmoreESMA responds on Fintech
ESMA has responded to the Commission’s consultation on Fintech. It sees Fintech as a positive evolution so long as business models continue to aim to improve the customer experience and financial inclusion. It...
ECON publishes draft retail FS plan
The EP has published a draft report on the Action Plan for retail financial services. The report: says the EU retail financial services market is still underdeveloped and fragmented, but recognises that such a market...
Commission to amend PSD2 RTS
The Commission has written to the EBA explaining why it plans to amend the draft RTS under PSD2 on customer authentication and standards of communication. The key areas of change are: to ensure statutory audit of the...
BoE updates Fintech accelerator
BoE has updated its Fintech accelerator page, to reflect that its latest call for applications is now closed. The page also outlines the current proofs of concept that currently form part of the accelerator programme.
PSR publishes contactless mobile payments page
The PSR has published a new webpage explaining the work it is doing on contactless mobile payments. It says it has noted how the growth in this type of payment could affect its statutory objectives and will publish an...
EBA publishes PAD standards
EBA has published its final draft technical standards under the Payment Accounts Directive on standard terminology for services linked to a payment account, and standardised formats and common symbol of the Fee...
FCA publishes Mission Statement and Business Plan
FCA’s latest Mission and Business Plan contain few surprises, but indicate a lot of work in diverse areas. The Mission, which takes into account stakeholder views, seeks to explain to firms how and why FCA...
FSCS confirms £363m levy for 2017/18
FSCS has announced its levy for 2017/18. The £363m is less than forecast in the FSCS’ 2017/18 Plan and Budget in January, but more than the 2016/17 levy. The 2017/18 levy includes: no change to the £100m levy on...
FCA speaks on the next phase of Project Innovate
On 10 April 2017, Christopher Woolard, the FCA’s Executive Director of Strategy and Competition delivered a speech at the Innovate Finance Global Summit in London. The speech considers the work of the FCA’s...
FCA publishes discussion paper on distributed ledger technology
The FCA has published a discussion paper on distributed ledger technology (DLT). The discussion paper describes DLT and acknowledges blockchain as a type of DLT. The FCA invites a discussion on two sets of issues: What...
HMT issues regulatory innovation plan
The government’s vision is for UK financial services to be the most competitive and innovative in the world, supplementing existing services with greater choice and value for consumers. The innovation plan covers how...
FCA makes new rules
FCA made several changes to its rulebook at its Board Meeting on 30 March. Key changes include: changes to fees relating to the FOS and periodic fees for exchanges and benchmark administrators; changes to the FSCS...
PSR publishes terms of reference for its role in preventing and responding to push-payment scams
Today, the payment systems regulator published its final terms of reference PSR will consider whether it would be effective and proportionate for operators of push payment systems to play a greater role in preventing...
FCA to tackle contactless card fraud
John Griffith-Jones, Chairman of FCA and Payment Systems Regulator, has written to Rt Hon. Andrew Tyrie MP, Chairman of the Treasury Committee, about contactless card fraud. In 2015 there was £2.5m of reported...
Payment systems regulator unveils 2017/18 plan and budget
In the plan the PSR sets out its aims and a summary of its anticipated activities and expected costs for the next twelve months. The PSR said its budget costs would consist of: Staff costs: £7.9m Professional fees: £2...
Super trade body gets a name
The new trade body, which will be formed from the merger of the BBA, CML, Payments UK, the UK Cards Association, the Asset Based Finance Association and Financial Fraud Action UK, is to be called UK Finance. Bog Wigley...
“Same business, same risks, same rules” – ECB comments on regulation of Fintech
In a statement made at an ECB Fintech Workshop, Sabine Lautenschläger (Member of the Executive Board of the ECB and Vice-Chair of the Supervisory Board of the ECB) told the audience how the ECB sees some of the...
European Commission publishes FS action plan
The Commission has published its Financial Services Action Plan for a “deeper and fairer Single Market”. As ever, the priority is to enhance competition and improve consumer choice, regardless of where and...
European Commission releases public consultation on FinTech as part of Consumer Financial Services Action Plan
In a statement released today, the European Commission has presented an Action Plan that sets out ways to provide European consumers with greater choice and better access to financial services across the EU. At its...
Cheque & Credit Clearing Company announce details of image-based cheque clearing system to go live for some banks on 30 October 2017
The C&CCC – the organisation that manages the cheque clearing system – has announced the details of the launch of an industry-wide image-based cheque clearing system that will speed up cheque processing...
PSD2 and Open Banking
We have written an article for Compliance Monitor on PSD2 and Open Banking, looking specifically at the role and future regulation of third party payment service providers.
Treasury speaks on Fintech
Simon Kirby, Economic Secretary to the Treasury, spoke at the LSE Global Fintech Investor Forum where he emphasised UK dominance in Fintech innovation. Mr Kirby gave three examples of what others envy in the British...
PSR looks forward to increased payment systems access
PSR’s annual report on access and governance of payment systems looks forward to new providers getting direct access to the interbank payment systems in the next year. It hopes this will improve competition in...
UK and Japan to co-operate on innovator firms
In the latest co-operation agreement between UK and AsiaPac regulators, FCA has exchanged letters of co-operation with the Japanese Financial Services Agency, under which the regulators will provide a...
FCA publishes quarterly consultation
FCA’s latest quarterly consultation, quarterly consultation no.16 proposes changes to: DEPP and EG reflecting the FCA’s powers following the Bank Recovery and Resolution Order 2016: these would set out the...
PSR to look at push payment risks
The PSR has published draft Terms of Reference for a project looking at the potential for payment system operators (PSOs) to play a role in minimising consumer harm caused by authorised push payment (APP) scams in the...
EBA publishes PSD2 authentication RTS
On 23 February, EBA published its final draft RTS on strong customer authentication and common and secure communication under PSD2. EBA heralded the publication as having had to address “difficult trade-offs...
EU Fintech report to be debated in May
The EU legislative observatory indicates the EP’s report on Fintech is to be debated in committee session in mid-April and in plenary in mid-May. The draft opinion focuses on the benefits of Fintech for SMEs and...
EBA speaks on PSD2
At the same payments conference at which BoE spoke, Andrea Enria, Chair of EBA, spoke of EBA’s work on PSD2, specifically the technical standards it needs to produce. He noted there are 11 technical standards and...
BoE updates on payments infrastructure
Members of our team attended a seminar on the retail payments infrastructure. Among the speakers, David Bailey outlined BoE’s current priorities. He spoke of the role of the Payments Strategy Forum and BoE’s...
NEW TRADE BODY FOR FINANCE SECTOR
A new body is to launch later in 2017, designed to be the authoritative voice for the finance sector in the UK. The name and brand of the body is to be announced in summer 2017. Bob Wigley will oversee the appointment...
Emma RadmoreTreasury consults on PSD 2 implementation
Treasury is consulting on draft legislation to implement PSD 2 into UK law. The Government wants to finalise the legislation as early in 2017 as possible to give industry as much time as possible to make changes. The...
Government publishes Brexit White Paper
The Government has published its White Paper on building a new relationship with the EU after Brexit. The paper looks at the basis on which the Government wants to address the 12 principles Theresa May set out on 17...
May confirms Brexit Plan
Industry has reacted to Theresa May’s speech of 17 January, when she confirmed Britain would leave the single market. In her speech, the Prime Minister reiterated that it is for the Government alone to invoke...
PRA and FCA consult on FSCS levy limit
FCA and PRA have issued a joint consultation paper on the management expenses levy limit (MELL) for the FSCS for 2017/18. The MELL provides the FSCS with adequate resources to process compensation claims resulting from...
Brexit Committee calls for Parliamentary vote on Brexit deal
The first report of the committee on exiting the EU calls for the Government to publish its Brexit plan by mid-February, and says that plan should set out the Government’s position on membership of the single...
House of Commons looks at legislating for Brexit
The House of Commons Library has published a report looking at how many EU laws are directly applicable in the UK (around 5,000), and will therefore cease to apply in the UK once the European Communities Act 1972 is...
Retail banking market investigation: CMA publishes responses to draft order
The CMA has published responses to the publication of its draft order following the retail market investigation. The responding institutions include: Dansk Bank HSBC Information Commissioner’s Office Santander...
Parliament urges FS transition after Brexit
The EU Financial Affairs Sub-Committee has published its report on Brexit and financial services. The report says it is critical to agree a transitional period for financial services to avoid a “cliff edge”...
Article: FinTech firms navigate regulatory uncertainty
Current laws and regulations weren’t designed with FinTech or InsurTech in mind, so startups must – on top of their business proposition – implement appropriate compliance procedures and grapple with legal uncertainties...
FCA announces HK cooperation
FCA has signed a MoU with the Hong Kong Monetary Authority to enable the authorities to collaborate on a number of initiatives such as referrals of innovative firms, joint innovation projects, information exchange and...
CMA publishes draft Order following retail banking market investigation
In August 2016 the CMA published the report on its market investigation into the supply of retail banking services. Following the proposals of that Report, the CMA has published a draft Retail Banking Market...
FinTech bridge to China agreed
Announced as part of the 8th annual UK-China Economic and Financial Dialogue at Lancaster House in London this month, the FCA has signed a Co-operation Agreement with the People’s Bank of China in a bid to share...
BBA announces update to Access to Banking Protocol
The BBA has said that it will update the Access to Banking Protocol in response to an independent review into the effectiveness of the Protocol one year after implementation. The Protocol was put in place in May 2015 to...
FCA summarises financial services under WTO
Andrew Bailey has written to the Treasury Committee outlining what the regulatory landscape for financial services would be if the UK were a “third country” in respect of the remaining EU27, with access...
FCA updates on sandbox use
FCA has published a list of firms who it allowed to begin testing new products in its regulatory sandbox. It received 69 applications in its first wave, of which it accepted 24. Successful applicants range from the...
PSR speaks on super-complaint
Hannah Nixon, Managing Director of the PSR, has spoken about its first super-complaint and what PSR is doing about it. The PSR must respond by 22 December, and is looking at the scale of the “vishing”...
FCA gets tough on AML failings
FCA has fined Sonali Bank £3,250,600 and restricted it from accepting deposits from new customers for 168 days, and also fined the bank’s former MLRO £17,900 and banned him from performing the MLRO or compliance...
City publishes Brexit report
On 5 October, the City UK published a report by Oliver Wyman looking at the potential impact of Brexit on the UK-based financial services sector. The report looks at the potential consequences of various possible Brexit...
PSR receives super-complaint on push payments
PSR has received a super-complaint from Which?. The complaint wants more action by regulators and possibly legislation to reduce the risks that customers are defrauded when they make “push” payments.
FCA publishes passporting figures
In response to the Treasury’s Committee’s investigation into the potential effects of Brexit, FCA has revealed details of the number of single market passports used by UK firms to passport into other EEA...
PAD takes effect
Treasury has confirmed how the UK has met its obligations to implement the Payment Accounts Directive into UK law. It has done this mainly through the Payment Accounts Regulations 2016, which took effect on 18 September...
LSB reports on outsourcing
LSB has published a report on how 7 members and key third parties control outsourcing of business covered by the Lending Code. It concludes the sample showed good controls. We think the report has some useful checklists...