Hm Treasury
Detail of outcome
The publication of this Payments Regulation and the Systemic Perimeter: Consultation Response document concludes the governments consultation on reforms to the Bank of Englands and Payment Systems Regulators respective regulatory frameworks over the payments sector.
Consultation Response
The government has now published its response to its 2022 call for evidence and consultation, having received 23 responses from a range of financial services actors operating within the sector, including payment services and e-money providers, payment system operators and trade and business associations. In this document, the government commits to progressing reforms to both the Bank of Englands and the Payment Systems Regulators respective statutory perimeters over payments, following proposals laid out in its initial 2022 consultation.
This response document summarises the feedback received to the call for evidence concerning the governments proposals and outlines the governments overall approach to enabling these reforms through primary legislation when future parliamentary time allows.
This document also provides updates in relation to the governments commitment to enable rulemaking and direction-making powers for the Financial Conduct Authority and Payment Systems Regulator over their aspects of retained European Union payments law, as part of the governments approach towards enabling a Smarter Regulatory Framework for financial services. Finally, it provides an update on the remit of the Senior Managers & Certification Regime in relation to payments, noting the governments ongoing wider review of the Regime.
Original consultation
Consultation description
This consultation meets a government commitment made in its 2021 Payments Landscape Review response to explore reforms to the systemic payments perimeter under supervision of the Bank of England. It sets out why now is the time to review the applicability of the Bank of Englands existing regulatory perimeter over payment systems, the governments principles in approaching any reforms, and potential adjustments to the framework of the Banking Act 2009.
Separately, this consultation outlines the governments considerations as to how the payments regulatory framework fits with the outcomes of the FRF Review. It also seeks views on exploring the scope of application of a Senior Managers & Certification Regime for the regulation of payments; and finally, changes to the current regulatory framework of the PSR, as set out in the Financial Services (Banking Reform) Act 2013.
We request that responses utilise the pre-formatted response template provided below; however, this is not necessary should respondents wish to consider the topics covered thematically.
