Compliance with Specific Directions

In June 2017, the PSR published its final “Market Review into the ownership and competitiveness of infrastructure provision”. The report found there to be no effective competition for the provision of UK payments infrastructure for Bacs, FPS and Link. The PSR decided to implement two remedies based on all evidence, information provided by stakeholders and responses to its December 2016 consultation:

- To undertake a competitive procurement process of future central infrastructure contracts

- To adopt a common international messaging standard for Bacs and Faster Payments to make it easier for new entrants to access payment systems

 To address the competition issues, the PSR issued two specific directions (SDs) on the operator of FPS as per the table below:

PSR Specific Direction (SD)  

Requirement 

Deadline

Compliance

Specific Direction 3 The operator of FPS must report to the Payment Systems Regulator on its work under this Specific Direction 3 in accordance with paragraph 3.2. Each report must include elements described in the direction. Further information what these elements are can be found here. Every six months, commencing from 29 September 2017



First report submitted on 29 September 2017



Subsequent reports for 2018 will be submitted on: 30 March 2018 and 28 September 2018
 
Specific Direction 5 on messaging standards The operator of FPS must prepare the documentation necessary (including comprehensive implementation guidelines) to support the conversion of all relevant messages and related functionalities (used in the current FPS system) from ISO 20022 into the existing messaging standard and from the existing messaging standard into the ISO 20022 messaging standard. This documentation must be prepared in accordance with paragraphs 6.2.b) and 6.3. Further detail on what must be included are defined in detail here. Ongoing  

 

 Key
    On track
    In progress
    Requires action