The Financial Conduct Authority and Payment Systems Regulator outline plans to enhance open banking with new services and an independent operator.
Highlights:
- New Services: Introduction of variable recurring payments to give consumers more control over regular payments.
- Independent Operator: Establishment of an independent central operator to coordinate variable recurring payments.
- Industry Collaboration: Continued collaboration with industry stakeholders to develop commercial arrangements for open banking.
Summary: The Financial Conduct Authority (FCA) and the Payment Systems Regulator (PSR) have announced the next steps for open banking in the UK. Key initiatives include the introduction of variable recurring payments, which will allow consumers to control how much is paid at one time or over a month, reducing the risk of unexpected expenditures.
Additionally, an independent central operator will be established to coordinate these payments. The FCA and PSR emphasize the importance of continued collaboration with industry stakeholders to develop commercial arrangements and ensure the success of open banking.
