On 9 May 2019, the UK Payment Systems Regulator (the PSR) published its response to the first consultation on the proposed implementation of the confirmation of payee service, and published a new consultation on a specific direction on the implementation of the service.
After considering the feedback, the PSR has refined its approach. It has decided to give a specific direction to Lloyds Group, Barclays Group, HSBC Group, Royal Bank of Scotland Group, Santander Group and Nationwide Building Society (being the six largest payment services providers).
The proposed effect of the specific direction is to require:
– From 31 December 2019: the directed PSPs must respond to compliant confirmation of payee requests; and
– From 31 March 2020: the directed PSPs must send confirmation of payee requests and present responses to their customers.
The consultation period ends on 5 June 2019.