Paragraph 38

(1)

Regulation 63 (application of Part 7) is amended as follows.

(2)

In paragraph (1)(b)—

(a)

in paragraph (i)—

(i)

for “the EEA” substitute “the United Kingdom”;

(ii)

for “the currency of an EEA State” substitute “sterling”;

(b)

after paragraph (i) insert—

“(ia)
the payment service providers of both the payer and the payee are located within the qualifying area and the service relates to a transaction in euro executed under a payment scheme which operates across the qualifying area;”,

(c)

in paragraph (ii)—

(i)

for “the EEA” substitute “the United Kingdom”;

(ii)

for “the currency of an EEA State” substitute “sterling or euro”;

(d)

in paragraph (iii), for “EEA” substitute “United Kingdom and the case does not fall within paragraph (ia)”.

(3)

After paragraph (1) insert—

“(1A)
In paragraph (1)(b)(ia)—

(a)
“payment service provider” includes any person who is a PSP as defined in Article 2(8B) of the SEPA regulation;

(b)
“the qualifying area” means the area of the United Kingdom and the EEA States.”

(4)

In paragraphs (2)(a) and (3)(a), for “EEA” substitute “United Kingdom”.

(5)

In paragraph (4), omit “or EEA registered account information service providers”.