Regulation 6 Terms defined for purposes of Regulation

Article 2 (definitions) is amended as follows.

Before point (1) insert—

“(A1)

“the qualifying area” means the territory of the qualifying States;

(A2)

“qualifying State” means each of the following—

(a)

the EEA states, and

(b)

the United Kingdom;”.

In point (7), for “Union and within Member States” substitute “qualifying area and within the United Kingdom”.

Omit point (8).

Before point (9) insert—

“(8A)

UK-regulated PSP” means a payment service provider as defined by regulation 2(1) of the Payment Services Regulations 2017^f1;

(8B)

“PSP” means—

(a)

a UK-regulated PSP, or

(b)

a PSP as defined by point (8), as it had effect immediately before exit day;”.

In point (10), for “Union” substitute “qualifying area”.

In point (14)—

In point (15), for “Member” substitute “qualifying”.

In point (17), for “Union-wide schemes” substitute “schemes extending to the qualifying area”.

For point (23) substitute—

“(23)

“microenterprise” means an enterprise which, at the time of conclusion of the payment service contract, is an enterprise which employs fewer than 10 persons and whose annual turnover or annual balance sheet total (or both) does not exceed EUR 2,000,000; and for this purpose—

(a)

an enterprise is entity engaged in an economic activity, irrespective of its legal form and includes, in particular, self-employed persons and family businesses engaged in craft or other activities, and partnerships or associations regularly engaged in an economic activity, and

(b)

the application of these ceilings to an enterprise which has a relationship with another enterprise and the data to apply to the headcount of staff and the financial amounts are to be determined in the manner described in Articles 3 to 6 of the Annex to Commission Recommendation 2003/361/EC of 6 May 2003 concerning the definition of micro, small and medium-sized enterprises, but as if references to the ceilings in Article 2 were references to the ceilings in this definition and as if in Article 3(5) the words “or Community” were omitted;”.

In point (26), for “Member” substitute “qualifying”.

For point (27) substitute—

“(27)

“UK payment transaction” means a payment transaction initiated by a payer or by a payee, where the payer’s PSP and the payee’s PSP are both located in the United Kingdom, and “UK credit transfer” and “UK direct debit” have corresponding meanings;”.