HM Treasury has written to the House of Commons Treasury Committee with further detail on the government’s intention to consolidate the Payment Systems Regulator (PSR) and its functions primarily within the Financial Conduct Authority (FCA), as part of a move to streamline the payments regulatory environment. Under the proposal, the FCA would take on responsibility for ensuring the payments landscape promotes innovation and competition and supports the interests of consumers and businesses. HM Treasury stressed that the announcement does not create any immediate change to the PSR’s remit or ongoing work programme, and that the PSR will retain access to its statutory powers until legislation is passed; in the interim, the PSR and FCA will work more closely together, building on recent recruitment for a joint PSR/FCA payments executive director. The government plans to consult on the details over the summer and to legislate as soon as possible.
HM Treasury 2025-03-12
HM Treasury sets out plans to consolidate the Payment Systems Regulator’s functions primarily into the Financial Conduct Authority
HM Treasury has informed the House of Commons Treasury Committee of plans to consolidate the Payment Systems Regulator into the Financial Conduct Authority to streamline payments regulation. The FCA would oversee innovation, competition, and consumer interests in the payments landscape. The PSR will maintain its current remit and statutory powers until legislation is enacted, with interim collaboration between the PSR and FCA.