We are seeking views on the impact of new EU legislation as well as other trends and issues within the card payments sector to help inform our regulatory approach.
Why we are doing this piece of work
We have noted that concerns around interbank payment systems (such as indirect access, transparency, governance and how service-users are represented in decision making) may also be relevant to card payment systems.
In addition, new legislation from Europe, most notably the new Interchange Fee Regulation (IFR), is bringing major changes to the way UK card payment systems operate.
We expect to be one of the lead UK regulators for the IFR and so, to shape our regulatory approach, we are seeking views on how stakeholders expect to respond to the legislation, as well as other trends and issues within card payment systems.
What we want to achieve
This programme of work will help us understand what we need to do, how, and by when.
In summary, we want to:
- develop our understanding of card systems fees and how they may be affected by reactions to the IFR;
- build our understanding of the provisions on business rules and functional separation included in the IFR and their potential impacts;
- develop our policy for monitoring compliance with and enforcing the IFR, subject to PSR being designated as a competent authority; and
- gather information on other possible concerns parties may have relating to indirect access, transparency of information and the decision making process, governance and how service-users’ interests are represented in decision making in card systems.
This document is the start of the process. We will use the views we gather to stimulate further discussion.
What this document contains
The Call for Input provides background to the issues we are going to look at, what our programme of work will include and the questions we want you to respond to.
There are also three annexes:
- The full list of questions
- A glossary of terms
- A cover sheet for your response
Disclosure of information
Generally speaking we will seek to publish views or submissions in full or in part. This reflects the duty on us to have regard to our regulatory principles, which include those regarding publication in appropriate cases and to exercise our functions as transparently as possible.
Please read Chapter 4 of the document so that you understand how we will use the information you send us.
Deadline for responses
5pm on Friday 31 July 2015.
How to respond
You can send your comments and responses to our questions by email to cards@psr.org.uk.
Or you can respond in writing to the address below (although we ask all respondents to also provide electronic Word and PDF versions of their response).
Payment Systems Regulator
Cards Programme Team
25 The North Colonnade
Canary Wharf
London E14 5HS