Author: Ruleguard – ruleguard.com

Despite recent announcements that the Payment Services Regulator (PSR) will be disbanded, regulation is not going away.  The FCA is taking on increased responsibilities and ensuring that there are consistent messages to firms on how to safeguard funds and prevent harm to the consumer.

The FCA’s consultation paper: Changes to the safeguarding regime for payments and e-money firms (CP24/20) was published in September 2024, closed for comments in December 2024, and we’re now awaiting the final rules.

Within the paper, the FCA announced changes to the safeguarding regime for payments and e-money firms and made proposals to support its regulatory commitment to protecting consumers and reducing harm caused by a firm’s insolvency.

In Ruleguard’s article, we explore the proposals in depth and consider the key steps that firm should take to demonstrate compliance.