The FSA and the Bank of England (BoE) have signed a Memorandum of Understanding (MoU) which is intended to help facilitate effective communication and cooperation in respect of the oversight of payment systems.
The MoU sets out the arrangements for cooperation and division of roles and responsibilities agreed between the FSA and the BoE regarding FSA regulated organisations and payment systems with a particular focus on the division of responsibilities for the regulation of embedded payment systems that have been recognised under the Banking Act 2009.
The MoU is split into four sections:
- Roles and responsibilities regarding FSA regulated organisations operating recognised payment systems.
- Roles and responsibilities regarding other FSA regulated organisations and standalone payment systems.
- Roles and responsibilities regarding the Settlement Finality Regulations.
- Arrangements for information sharing and supervisory cooperation.
View MoU between the Bank of England and the FSA regarding the oversight of payment systems, 2 February 2010