PSR and FCA publish regulatory fees consultation

The Payment Services Regulator (PSR) and the FCA have published a consultation paper (CP18/18) PSR regulatory fees, which sets out their decisions on a number of matters relating to the approach to the allocation and collection of regulatory fees for the PSR. The consultation also sets out a number of proposals on related matters. Feedback is sought by 10 May 2018.

PSR, 28 March 2018


UK Finance discussion paper on using DLT for customer due diligence

UK Finance has published a discussion paper entitled "Un-blocking identity in the digital world". The paper has been produced by Whitechapel Think Tank (WTT), supported by UK Finance and looks at how technology can provide a solution to safely validating identity and verification and considers how distributed ledger technology (DLT) could be utilised to assist in streamlining the approach. In the WTT's view, if implemented correctly, DLT has the potential to address issues such as:

  • Leaving the data subject in control of their data;
  • Allowing proof of identity to be decentralised, rather than maintained in a central authority; and
  • Enabling participants to commercialise the due diligence work that they already undertake to establish and validate identities.

UK Finance, 29 March 2018


NPSO updates code for indirect access providers

On 5 April 2018, the New Payment Systems Operator (NPSO) published an updated version of its voluntary code of conduct (dated March 2018) for indirect access providers (IAPs). Many payment service providers (PSPs) use the services of another PSP to provide to their clients indirect access to the UK payment systems. The code sets out the standards of best practice that an indirect PSP (IPSP) should expect from an indirect access provider (IAP) for the provision of indirect access services to regulated payment systems within its scope. It aims to improve the experience of IPSPs by clearly setting out the responsibilities of IAPs who have subscribed to the code.

The Code aims to improve the experience of IPSPs by providing:

  • Clarity on the contractual arrangements that govern indirect access services they receive.
  • Security of supply of indirect access.
  • Confidentiality of commercially sensitive information they share with IAPs.
  • Support in establishing indirect access and in switching between providers.
  • Appropriate and timely communication between IAPs and IPSPs about the availability of services and planned changes.

The code is owned by the IAPs that have subscribed to it and is currently administered by the NPSO. These IAPs and the NPSO will discuss with the PSR annually the outcomes of the monitoring and compliance processes. NSPO, 5 April 2018


European Commission legislative proposal for amendments to Regulation on cross-border payments

A legislative proposal for a Regulation amending the Regulation on cross-border payments (Regulation 924/2009) has been adopted by the European Commission which concerns charges on cross-border payments in the EU and currency conversion charges.

European Commission, 28 March 2018