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Payments and the UK government’s pro-growth agenda: FCA seeks feedback on potential changes to contactless limits

Following the FCA’s January 2025 response to the government’s request for ideas to support its growth mission for the UK economy, the FCA has now published an engagement paper seeking feedback on the different ways that it...more

The Payments Newsletter including Digital Assets and Blockchain, February 2025

Key developments of interest over the last month include: a new Bill containing detailed new information and account direct deduction obligations for banks and EMIs being introduced to the UK Parliament; the issuing of a...more

Big Tech and digital wallets: Regulatory perimeter under review following feedback to UK FCA and PSR call for information

Potential issues identified from stakeholder feedback to the FCA and PSR call for information include insufficient competition between digital wallets and between payment systems within digital wallets. The majority of...more

European Commission confirms narrower scope of e-money acceptance under EMD2

In a recent response to an EBA Q&A and with reference to existing ECJ case law, the European Commission has stated that the condition of acceptance in the definition of e-money in the second E-Money Directive (2009/110/EC)...more

UK Public Authorities (Fraud, Error and Recovery) Bill: Banks and EMIs face detailed new information and account direct deduction...

Banks and EMIs will need to consider the impacts of proposed new requirements to comply with information notices and account direct deduction orders on their policies, procedures and controls. For information notices, this...more

Bank of England outlines path to digital pound

On 14 January 2025, the Bank of England ("BoE") published a design note outlining its current thinking relating to the design of a digital pound (the "Design Note") and a progress update summarising the BoE’s work on...more

The Payments Newsletter including Digital Assets and Blockchain, January 2025

Key developments of interest over the last month include: the U.S. Consumer Financial Protection Bureau looking at digital payment privacy and consumer protections; the UK FCA publishing a discussion paper on admissions and...more

The Payments Newsletter including Digital Assets and Blockchain, December 2024

Key developments of interest over the last month include: the U.S. Consumer Financial Protection Bureau publishing a final rule on federal supervision of Big Tech and other widely used digital payment apps; the UK FCA...more

FCA publishes plans for developing cryptoasset rules in the UK

On 26 November 2024, the FCA published a number of communications relating to its approach to developing the future cryptoassets regime for the UK, including a roadmap for the development and introduction of the UK’s...more

The Payments Newsletter including Digital Assets and Blockchain, November 2024

Key developments of interest over the last month include: the UK Chancellor of the Exchequer makes her first Mansion House speech and HM Treasury publishes the National Payments Vision, indicating a focus on economic growth...more

UK Chancellor of the Exchequer’s Mansion House speech (14 November 2024) – summary of key initiatives

At her inaugural Mansion House speech on 14 November 2024, the Chancellor of the Exchequer outlined a number of key policy initiatives for the UK financial services sector. This note sets out the main initiatives, which...more

Retail banking and consumer finance: UK FCA portfolio letters highlight 2025 supervisory priorities

The Financial Conduct Authority (FCA) is turning its thoughts to the year ahead in publishing a series of portfolio letters focusing on its 2025 supervisory priorities for retail banks, building societies, non-bank mortgage...more

The Payments Newsletter including Digital Assets & Blockchain, October 2024

Key developments of interest over the last month include: the UK FCA publishing a consultation on two-stage reforms to the payments and e-money safeguarding regime; the U.S. Consumer Financial Protection Bureau announcing a...more

Buy-Now Pay-Later reform: UK government publishes updated proposals – now over to the FCA

HM Treasury has published its long-awaited response to the February 2023 consultation on its proposed approach to bringing Buy-Now Pay-Later (BNPL) within the FCA’s regulatory perimeter. The government is clear that “swift...more

Hogan Lovells PSD3 Impacts Report: Getting ahead of the evolving EU payments regulatory landscape

Given the sea change of payment services directive 2015/2366 (“PSD2”), one might expect the prospect of the proposed PSD3 and PSR to have psps groaning at the thought of yet more root and branch reg change projects. However,...more

UK APP fraud mandatory reimbursement regime: Next steps for PSPs and overview of key publications

With the new mandatory reimbursement requirements for Faster Payments and CHAPS now in force, we provide a quick reference guide to the key publications to date. As in-scope payment service providers (PSPs) move into the...more

UK retail banking and payments: Regulatory return to the office - recent developments to be aware of

After a relatively quiet period over the summer due to the general election, the post-holiday period has been a busy one on the retail banking, consumer finance and payments regulatory front. There have also been some FCA...more

APP fraud: Final draft payments delay SI and UK PSR policy statement on maximum reimbursement level

Just days before the 7 October go-live for the new Faster Payments System (FPS) and CHAPS mandatory reimbursement requirements, HM Treasury (HMT) has published its awaited final draft outbound payments delay legislation. PSPs...more

UK FCA Consumer Duty: Price and value outcome - good and poor practice update

On 18 September 2024, the FCA provided insights from its supervisory activity on price and value in its priority areas of cash savings, GAP insurance and cash on investment platforms following the implementation of the...more

UK FCA confirms extension to motor finance complaint handling pause

In July this year the FCA announced that, following the launch of a review of historical motor finance commission arrangements and sales across several firms (January 2024), it was pushing back the timing for publication of...more

UK Open Banking: PSR consultation response on Phase 1 expansion of Variable Recurring Payments

The Payment Systems Regulator (PSR) has published a response to its December 2023 consultation (call for views) which set out initial proposals on how the PSR could support the expansion of Variable Recurring Payments (VRPs)...more

APP fraud: UK PSR confirms reduced maximum level of reimbursement

After a short consultation period, the Payment Systems Regulator (PSR) has confirmed its decision to reduce the maximum level of reimbursement for the Faster Payments System (FPS) APP fraud mandatory reimbursement requirement...more

Payments and e-money: UK FCA consults on two-stage reforms to safeguarding regime

The FCA believes that there is a continuing problem with poor safeguarding practices across the industry due to poor implementation of the current regulatory framework under the Payment Services Regulations 2017 (PSRs) and...more

Cash Savings Market Review update: UK FCA finds room for improvement

On 19 September 2024, the FCA published an update on its review of the cash savings market and investigation into the practices of the largest 9 firms with easy access savings accounts. With a focus on the effectiveness of...more

APP fraud: UK PSR final policy on CHAPS mandatory reimbursement requirement

The Payment Systems Regulator (PSR) has published a policy statement and final Specific Direction to banks and other payment firms participating directly or indirectly in CHAPS (the UK’s high-value payment system) to...more

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