The Bank of England has announced changes to the hours that the CHAPS (the UK’s high-value payment system) and CREST (the UK’s security settlement system) systems will be working for, which will come into effect from summer 2016. Both of these systems are increasing their working hours by 1 hour and 40 minutes, meaning that they will now close at 6.00pm for direct participants, such as banks.
This change to working hours means that these systems will be better aligned with the typical working hours of many of the system users and allow many of the users greater flexibility when making a high-value payment. The change will also enhance risk management for the financial market infrastructures and increases the flexibility in balance sheet management.
Before these changes are made effective, financial institutions will need to make changes to staffing, budgets, IT systems and legal documentation.
The implementation date for this change is set to be announced in August 2015. The news release can be read here.