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UK Open Banking: PSR consultation on variable recurring payments and JROC update on progress

In the latest developments relating to the UK's open banking landscape, on 18 December 2023 the Payment Systems Regulator (PSR) released a consultation paper outlining plans for expanding variable recurring payments (VRP)...more

UK PRA Strong and Simple framework: Policy statement on Phase 1 of 'simpler regime' work published

The Prudential Regulation Authority (PRA) has published a policy statement (PS15/23) on scope, criteria, liquidity, reporting and disclosure requirements under the Strong and Simple framework. This is a set of prudential...more

Hitting the brakes: UK FCA review of motor finance commission arrangements

Following a large number of complaints from motor finance customers in relation to discretionary commission arrangements entered into before the FCA's 2021 ban was introduced, the FCA has announced that it is using its powers...more

UK Consumer Duty: Closed products and board reports are key focus areas ahead of July 2024 deadline

From 31 July 2024, the FCA's Consumer Duty will apply to closed products and services (that is, products that were closed prior to the 31 July 2023 deadline for new and existing products or services open to sale or renewal)....more

Credit information: UK FCA publishes final report with remedies package for improving the market

The Financial Conduct Authority (FCA) has published a final report containing remedies for the credit information market to help deliver better lending decisions for borrowers and improve competition and innovation for market...more

UK regulator addresses deposit-takers on innovations in deposits, e-money and stablecoins

On 6 November 2023, the Prudential Regulation Authority (PRA) published a Dear CEO Letter addressed to deposit-taking entities (e.g. banks) in relation to innovations in deposits, e-money and stablecoins. The Dear CEO Letter...more

Bank of England discussion paper on regulatory regime for systemic payment systems using stablecoins

As mentioned in HM Treasury’s October 2023 policy update on plans for regulating stablecoins, the Bank of England (Bank) has published a discussion paper providing more details on its proposed regulatory regime for systemic...more

UK stablecoins regulatory regime: FCA and Bank of England publish proposals

Following HM Treasury’s October 2023 policy update on plans for regulating stablecoins, the Bank of England (Bank) and the Financial Conduct Authority (FCA) have published discussion papers providing more details on aspects...more

UK FCA publishes key findings on tackling money mule activities

The FCA has published the key findings from its multi-firm review of payment account providers’ systems and controls against money mule activity (ie where someone is recruited by criminals to move illegally obtained money)....more

UK “de-banking”: Latest UK government and FCA developments

Following the publication in July 2023 of a policy statement on payment service contract termination rules and freedom of expression, HM Treasury (HMT) has now published a further statement on implementation, timings and next...more

The Payments Newsletter including Digital Assets & Blockchain, September 2023

Key developments of interest over the last month include: the UK Payment Systems Regulator consulting on a specific direction to Faster Payments participants on its new APP fraud reimbursement requirement; the U.S. Federal...more

UK payments regulation and the systemic perimeter: HM Treasury consultation response published

HM Treasury has published the response to its July 2022 consultation and call for evidence on payments regulation and the systemic perimeter. HMT proposes the following next steps: extend the scope of the Bank of England’s...more

UK FCA Cash Savings Market Review report: Putting the Consumer Duty into action

With its Consumer Duty now in force for new and existing products or services open to sale or renewal, the FCA is not letting the grass grow under its feet. It has published its expected Cash Savings Market Review report and...more

UK cost-of-living crisis: FCA wants to see accelerated progress on fair and competitive savings rates

As part of a June 2023 action plan between the UK government and key regulators to ensure fair treatment of consumers and help those struggling to make payments, the FCA has agreed to focus on the savings market, with a...more

UK cost-of-living crisis: new Government/FCA measures to help consumers with savings and mortgages

The UK government has agreed a new action plan with key regulators, including the FCA, to ensure consumers (particularly those with vulnerabilities) are being treated fairly and help those struggling to make payments. The FCA...more

UK FCA consults on changes to create stronger framework to support borrowers in financial difficulty

As previously referred to by the FCA (for example in its 2023/24 Business Plan) and following its Borrowers in Financial Difficulty (BiFD) project findings, it has launched a consultation setting out how it plans to...more

UK Consumer Duty: FCA outlines expectations on fair value assessments as July deadline looms

In a speech marking less than three months until the first Consumer Duty implementation deadline, the FCA has warned that firms can expect swift action if they ignore the Duty or pose the most harm to consumers. As part of...more

UK FCA overdrafts remedies: Positive findings tempered by cost of living and upcoming Consumer Duty

The FCA’s evaluation of its 2019 personal current account (PCA) overdraft rule changes - introduced as part of its High-Cost Credit Review - paints a largely positive picture in terms of good consumer outcomes. However, the...more

UK Consumer Duty and FCA Business Plan 2023/24: ‘key role’ for Duty in cost of living crisis

With the entry into force of its new Consumer Duty now only months away, the FCA has taken the opportunity presented by its latest Business Plan to reinforce its message that it’s placing ensuring good consumer outcomes at...more

UK FCA Business Plan 2023/24: Prioritising ‘critical commitments’ in uncertain times

With the economic and geopolitical environment likely to remain ‘highly uncertain’, the FCA’s latest Business Plan reflects its decision to accelerate work in four areas over the next year: putting consumers’ needs first;...more

Cost of living crisis and financial services: what’s the impact in the UK and Ireland?

As part of the Hogan Lovells FinTech Fundamentals webinar series, on 22 March 2023 Financial Services Regulatory senior associate Jen Staniforth hosted a thought provoking panel discussion on the impact of the cost of living...more

UK FCA portfolio letter to payments firms: compliance with safeguarding is ‘top priority’

The FCA has published a Portfolio letter setting out its priorities for payments and e-money firms amidst tightening economic conditions and the cost-of-living crisis. Among the three outcomes that it has set for firms in...more

UK FCA final mortgage support guidance for firms assisting borrowers during cost of living crisis

The FCA has published its finalised guidance (FG23/2) for firms supporting their existing mortgage borrowers impacted by the rising cost of living. The FCA reiterates that the guidance clarifies the effect of its existing...more

UK Consumer Duty: FCA publishes third set of portfolio letters to help firms with implementation

On 3 March 2023, the FCA published its third batch of portfolio letters setting out its expectations for firms implementing the Consumer Duty. We covered the previous two sets of letters in our Engage articles of 9 and 28...more

UK Financial Services Regulatory Initiatives Forum publishes sixth edition of Grid

The eagerly awaited sixth edition of the Financial Services Regulatory Initiatives Grid has been published by the Financial Services Regulatory Initiatives Forum. The delay to its publication (originally expected in November...more

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