Finally, UKGov issues their National Payments Vision
Chris Skinner
My passion is tech, finance, and the future | CEO of the Finanser | Global keynote speaker | Author | Advisor | Checkout my latest book: Intelligent Money
Last month I asked where is the national payments vision? After last night’s Mansion House meeting in London with the UK Chancellor, it has finally been released. So, what’s in the plan?
First, there are two regulators involved in payments: the Financial Conduct Authority (FCA) and the Payment Systems Regulator (PSR). The consultation discovered that the two authorities often work separately and are uncoordinated. Decision: the FCA will lead anything that requires payments regulation under their remit, where it collides with the PSR.
Second, a lot of the payments infrastructure is too slow to change. Upgrades need to move faster and more efficiently, and there is now a new committee being put in place to reform this, replacing the mass of bankers and consultants who had been dealing with it before.
Three, Open Banking and Fraud take the lead. The OBIE (Open Banking Implementation Entity, which became Open Banking Ltd) will be replaced by the FCA to lead the regulations in this space. Equally, with fraud, the FCA takes over. That’s quite interesting as the PSR recently introduced laws implemented on 7 October 2024 to combat Authorised Push Payment (APP) fraud activities. It was quite controversial as they originally wanted a reimbursement level to be set at £415,000 but, late in the day, reduced it to £85,000 (the same as the financial services compensation scheme, FSCS).
Basically, all new regulatory changes required in the payments space will be lead by the FCA which begs the question: why do we need the PSR?
Finally, the Government will establish a NPVS (National Payments Vision and Strategy) committee to deliver the NPVS. Hmmmm … who’s going to be on that Committee? ✋🏻
Anyways, if you are interested in this stuff, here is the report:
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7hGreat read!
I made the mistake of reading this whilst Strictly Come Dancing was on the telly. “Clumsy, darling; you seem to be confusing economy and excitement - you can have both but it takes a lot more creativity than you’re showing us, and efficiency on its own is neither exciting nor inspiring. One more comment for the choreographer- you can ask for faster movement, but it still has to be in the right direction.” Just 6 points from me.
Founder & CEO - making it happen.
3w🙄 And where is VISION?.. Committee to turn vision into reality?.. Imagine crypto having that... )))
Fintech & Payments - investor & advisor
3wWould be interesting to read the remit letter sent jointly to the FCA and PSR. Was it published?