European Parliament to consider revised Wire Transfer Regulation at 10 to 13 March 2014 plenary session

The European Parliament has updated its procedure file on the proposed Regulation to amend and replace the Regulation on information on the payer accompanying transfers of funds. The procedure file now indicates that Parliament will consider the proposed Regulation at its 10 to 13 March 2014 plenary session.

View Information accompanying transfers of funds, 23 January 2014

European Parliament to consider CSD Regulation at 2 to 3 April 2014 plenary session

The European Parliament has updated its procedure file on the proposed Regulation on improving securities settlement and central securities depositaries. The procedure file now indicates that the Parliament will consider the legislative proposal during its 2 to 3 April 2014 plenary session.

View Financial markets: improving securities settlement in the EU; central securities depositories, 23 January 2014

EPC publishes updated versions of SEPA rulebooks

The European Payments Council (EPC) has published updated versions of its Single Euro Payments Area (SEPA) direct debit and credit transfer rulebooks (known as the SDD and SCT rulebooks):

  • SEPA Direct Debit Business to Business Rulebook Version 5.1;
  • SEPA Direct Debit Core Rulebook Version 7.1; and
  • SEPA Credit Transfer Rulebook Version 7.1.

The main change to these rulebooks is that they no longer refer to the concept of a "Pan-European Automated Clearing House (PE-ACH)" or the EPC document entitled "PE-ACH/Clearing and Settlement Mechanism Framework". The EPC decided to withdraw this document, which was first published in January 2007, because it is no longer required at this stage in the SEPA process.

The updated versions of these rulebooks come into force on 1 February 2014 although the next generation of SDD and SCT rulebooks (versions 6.0 and 8.0) and associated implementation guidelines will be published in November 2014, and will take effect in November 2015.

View SEPA business to business direct debit scheme rulebook, 27 January 2014

View SEPA core direct debit scheme rulebook, 27 January 2014

View SEPA credit transfer scheme rulebook, 27 January 2014

ECB opinion on postponement of SEPA migration date

On 9 January 2014, the European Commission published a proposed Regulation that would postpone the SEPA migration date by introducing an additional transitional period of six months. Under the proposed Regulation a grandfathering clause would allow banks and other payment service providers to process payments that would be non-compliant with SEPA until 1 August 2014.

On 14 January 2014, the European Central Bank (ECB) received a request from the Council of the EU asking for its opinion on the proposed Regulation on the postponement of the SEPA migration date. The ECB has now published its opinion.

The ECB makes a number of points in its opinion including that the proposed Regulation has given rise to confusion in the markets on the deadline for migration and that there is an urgent need for clear guidance. A further concern is the lack of legal certainty in the event that the proposed Regulation is only adopted after the current deadline (i.e. 1 February 2014). However, the ECB believes that this concern would be partially addressed by the proposed retroactive application of the proposed Regulation (i.e. as of 31 January 2014).

The European Parliament is due to consider the proposed Regulation in its plenary session to be held from 3 to 6 February 2014.

View Opinion of the European Central Bank of 22 January 2014 on a proposal for a regulation on the postponement of SEPA migration date (CON/2014/3), 22 January 2014

ESMA publishes final report on imposing fines and periodic penalty payments on trade repositories

The European Securities and Markets Authority (ESMA) has published its final report setting out technical advice to the European Commission on procedural rules to impose fines and periodic penalty payments on trade repositories (TRs).

The European Market Infrastructure Regulation (EMIR) requires the imposition of a fine when a TR has, intentionally or negligently, committed one of the infringements listed in Annex I of EMIR. Article 66 of EMIR further requires ESMA to impose periodic penalty payments in order to compel TRs or other relevant persons to put an end to an infringement or respectively to comply with their obligations in accordance with EMIR.

The final report sets out a summary of the responses received by ESMA to its two consultations and includes ESMA’s final technical advice to the Commission. ESMA also notes that all of its major proposals received support from respondents.

View ESMA’s technical advice to the commission on procedural rules to impose fines and periodic penalty payments to trade repositories, 20 December 2013