31 financial institutions collaborate to establish a new entity for advancing commercial VRPs in the UK
Highlights:
- Industry Collaboration: 31 fintechs, banks, and payment providers—including Barclays, Mastercard, and Revolut—have committed funding to develop a new entity for commercial VRPs.
- VRP Expansion: Commercial VRPs will enable flexible, automated payments for regulated industries such as utilities, financial firms, and government bodies.
- Consumer Benefits: The initiative aims to enhance payment efficiency, offering UK consumers better control over recurring transactions.
Summary:
A coalition of 31 financial institutions, including major banks and fintech firms, has agreed to fund the development of a new entity dedicated to advancing commercial Variable Recurring Payments (VRPs) in the UK. VRPs allow customers to authorize ongoing payments with flexible timing and amounts, improving transaction efficiency.
The initial focus will be on regulated industries such as utilities and government services, ensuring a seamless payment experience. This industry-led effort reflects the growing momentum behind open banking and the push for more innovative financial solutions
