The Payment Services Regulations 2017
S.I. 2017/752 · Made 18 July 2017 · Extends to United Kingdom
Financial Services And Markets
Made 18th July 2017
Laid before Parliament 19th July 2017
Coming into force in accordance with regulation 1
F1The Treasury are a government department designatedM1 for the purposes of section 2(2) of the European Communities Act 1972M2 in relation to financial services.
The Treasury make these Regulations in exercise of the powers conferred on them by section 2(2) of the European Communities Act 1972, sections 22(1) and (5) and 428(3) of, and paragraph 20(4)(d) of Schedule 1ZA and paragraph 15(1) of Schedule 2 to, the Financial Services and Markets Act 2000 M3, section 3 of the Child Trust Funds Act 2004 M4, section 694 of the Income Tax (Trading and Other Income) Act 2005 M5, sections 85(2)(b) and 109(4)(b) of the Financial Services Act 2012 M6 and paragraph 10(4)(b) and (5)(b) of Schedule 4 to the Financial Services (Banking Reform) Act 2013 M7.C1C2
Annotations to the whole text
Textual amendments
- F1
Regulations revoked (14.12.2023 for the revocation of reg. 158) by Financial Services and Markets Act 2023 (c. 29), s. 86(3), Sch. 1 Pt. 2 (with s. 1(4)); S.I. 2023/1382, reg. 2(c)(xix)
Marginal citations
- M1
- M2
1972 c. 68. Section 2(2) was amended by section 27(1)(a) of the Legislative and Regulatory Reform Act 2006 (c. 51) and the European Union (Amendment) Act 2008 (c. 7), Schedule, Part 1. By virtue of the amendment of section 1(2) by section 1 of the European Economic Area Act 1993 (c. 51) legislation may be made under section 2(2) of the European Communities Act to implement obligations of the United Kingdom created or arising by or under the Agreement on the European Economic Area signed at Oporto on 2nd May 1992 (Cm 2073) and the Protocol adjusting the Agreement signed at Brussels on 17th March 1992 (Cm 2183).
- M3
2000 c. 8. Section 22(5) provides that “specified” means specified in an order made by the Treasury. Paragraph 25 of Schedule 2 makes provision supplementing section 22. Schedule 1ZA was inserted by section 6 of the Financial Services Act 2012 (c. 21), and paragraph 20 was amended by paragraph 4 of Schedule 10 to the Financial Services (Banking Reform) Act 2013 (c. 33).
- M4
2004 c. 5. Section 3 was amended by sections 60 to 62 of the Deregulation Act 2015 (c. 20).
- M5
2005 c. 5. Section 694 is supplemented by the remainder of Chapter 3 of Part 6. Section 694 was amended by section 40(2) of the Finance Act 2011 (c. 11), and is applied with modifications by section 151 of the Taxation of Chargeable Gains Act 1992 (c. 12).
- M6
2012 c. 21. Section 85(2) was substituted by paragraph 10 of Schedule 2 to the Financial Services (Banking Reform) Act 2013.
- M7
Modifications
- C1
Regulations modified (20.11.2018) by The Electronic Money, Payment Services and Payment Systems (Amendment and Transitional Provisions) (EU Exit) Regulations 2018 (S.I. 2018/1201), reg. 1(2), Sch. 3 Pt. 2 (with reg. 4)
- C2
Regulations: power to modify conferred (11.7.2023) by Financial Services and Markets Act 2023 (c. 29), ss. 3, 86(3), Sch. 1 Pt. 2; S.I. 2023/779, reg. 2(d)
Contents
- Part 1: Introductory provisions
- 1Citation, commencement and extent
- 2Interpretation
- 3Exemption for certain bodies
- Part 2: Registration
- The register
- 4The register of certain payment service providers
- Authorisation as a payment institution
- 5Application for authorisation as a payment institution or variation of an existing authorisation
- 6Conditions for authorisation as a payment institution
- 7Imposition of requirements
- 8Variation etc. at request of authorised payment institution
- 9Determination of application for authorisation or variation of authorisation
- 10Cancellation of authorisation
- 11Request for cancellation of authorisation
- 12Variation of authorisation on FCA's own initiative
- Registration as a small payment institution
- 13Application for registration as a small payment institution or variation of an existing registration
- 14Conditions for registration as a small payment institution
- 15Supplementary provisions
- 16Application for authorisation or registration if requirements cease to be met
- Registration as an account information service provider
- 17Application for registration as an account information service provider or variation of an existing registration
- 18Conditions for registration as an account information service provider
- 19Supplementary provisions
- Common provisions
- 20Duty to notify changes
- 21Authorised payment institutions, small payment institutions and registered account information service providers acting without permission
- Part 3: Authorised Payment Institutions
- 22Capital requirements
- 23Safeguarding requirements
- 23AInsolvency Regulations
- 24Accounting and statutory audit
- 25Outsourcing
- Exercise of passport rights
- 26Application of regulations 27 to 30 to account information service providers Repealed
- 27Notice of intention Repealed
- 28Decision following notice of intention Repealed
- 29Notice of intention from an EEA authorised payment institution Repealed
- 30Supervision of firms exercising passport rights Repealed
- Part 4: Provisions Applicable to Authorised Payment Institutions and Small Payment Institutions
- 31Record keeping
- 32Additional activities
- 33Payment accounts and sums received for the execution of payment transactions
- 34Use of agents
- 35Removal of agent from register
- 36Reliance
- 37Duty to notify change in circumstance
- Part 5: Requirements for providers of certain services which are not payment services
- 38Notification of use of limited network exclusion
- 39Notification of use of electronic communications exclusion
- Part 6: Information Requirements for Payment Services
- Application
- 40Application of Part 6
- 41Application of this Part in the case of consumer credit agreements
- 42Disapplication of certain regulations in the case of low-value payment instruments
- Single payment service contracts
- 43Information required prior to the conclusion of a single payment service contract
- 44Information required after the initiation of a payment order
- 45Information required after receipt of the payment order
- 46Information for the payee after execution
- 47Avoidance of duplication of information
- Framework contracts
- 48Prior general information for framework contracts
- 49Information during period of contract
- 50Changes in contractual information
- 51Termination of framework contract
- 51ATermination of framework contract entered into before 28th April 2026
- 51BTermination of framework contract entered into on or after 28th April 2026
- 51CExceptions to regulation 51B(1) in relation to money laundering and immigration requirements etc.
- 51DExceptions to regulation 51B(3) in relation to certain public order offences etc.
- 52Information prior to execution of individual payment transaction
- 53Information for the payer on individual payment transactions
- 54Information for the payee on individual payment transactions
- Common provisions
- 55Communication of information
- 56Charges for information
- 57Currency and currency conversion
- 58Information on additional charges or reductions
- 59Burden of proof on payment service provider
- Other information requirements
- 60Information requirements for account information service providers
- 61Information on ATM withdrawal charges
- 62Provision of information leaflet
- Part 7: Rights and Obligations in Relation to the Provision of Payment Services
- Application
- 63Application of Part 7
- 64Application of this Part in the case of consumer credit agreements
- 65Disapplication of certain regulations in the case of low value payment instruments
- Charges
- 66Charges
- Authorisation of payment transactions
- 67Consent and withdrawal of consent
- 68Confirmation of availability of funds for card-based payment transactions
- 69Access to payment accounts for payment initiation services
- 70Access to payment accounts for account information services
- 71Limits on the use of payment instruments and access to payment accounts
- 72Obligations of the payment service user in relation to payment instruments and personalised security credentials
- 73Obligations of the payment service provider in relation to payment instruments
- 74Notification and rectification of unauthorised or incorrectly executed payment transactions
- 75Evidence on authentication and execution of payment transactions
- 76Payment service provider's liability for unauthorised payment transactions
- 77Payer or payee's liability for unauthorised payment transactions
- 78Payment transactions where the transaction amount is not known in advance
- 79Refunds for payment transactions initiated by or through a payee
- 80Requests for refunds for payment transactions initiated by or through a payee
- Execution of payment transactions
- 81Receipt of payment orders
- 82Refusal of payment orders
- 83Revocation of a payment order
- 84Amounts transferred and amounts received
- Execution time and value date
- 85Application of regulations 86 to 88
- 86Payment transactions to a payment account
- 87Absence of payee's payment account with the payment service provider
- 88Cash placed on a payment account
- 89Value date and availability of funds
- Liability
- 90Incorrect unique identifiers
- 91Non-execution or defective or late execution of payment transactions initiated by the payer
- 92Non-execution or defective or late execution of payment transactions initiated by the payee
- 93Non-execution or defective or late execution of payment transactions initiated through a payment initiation service
- 94Liability of payment service provider for charges and interest
- 94ALiability of payment service provider for charges and interest as a consequence of delay under regulation 86(2B)
- 95Right of recourse
- 96Force majeure
- Miscellaneous
- 97Consent for use of personal data
- 98Management of operational and security risks
- 99Incident reporting
- 100Authentication
- 101Dispute resolution
- Part 8: Access to payment systems and bank accounts
- 102Application of regulation 103
- 103Prohibition on restrictive rules on access to payment systems
- 104Indirect access to designated systems
- 105Access to bank accounts
- Part 9: The Financial Conduct Authority
- 106Functions of the FCA
- 106ATechnical standards
- 107Application of this Part to requirements of assimilated direct legislation and FCA rules
- Supervision and enforcement
- 108Monitoring and enforcement
- 109Reporting requirements
- 110Public censure
- 111Financial penalties
- 112Proposal to take disciplinary measures
- 113Injunctions
- 114Power of FCA to require restitution
- 115Proposal to require restitution
- 116Restitution orders
- 117Complaints
- Miscellaneous
- 118Costs of supervision
- 119Credit agreements Repealed
- 120Guidance
- 121FCA's exemption from liability in damages
- 122Application and modification of primary and secondary legislation
- Part 10: The Payment Systems Regulator
- 123Interpretation of Part 10
- 124Functions of the Payment Systems Regulator
- 125Directions
- 126Publication of compliance failures and penalties
- 127Penalties
- 128Notice of publication of a compliance failure or of imposition of a penalty
- 129Injunctions
- 130Appeals: general
- 131Appeals against directions and publication of compliance failures
- 132Appeals in relation to penalties
- 133Complaints
- 134Guidance
- 135Information and investigation
- 136Application of other provisions of the 2013 Act
- Part 11: General
- Contracting out of statutory requirements
- 137Prohibition on contracting out of statutory requirement
- Criminal Offences
- 138Prohibition on provision of payment services by persons other than payment service providers
- 139False claims to be a payment service provider or exempt
- 140Defences
- 141Contravention of regulations 57 and 58
- 142Misleading the FCA or the Payment Systems Regulator
- 143Restriction on penalties
- 144Liability of officers of bodies corporate etc
- 145Prosecution of offences
- 146Proceedings against unincorporated bodies
- Miscellaneous
- 147Duty to co-operate and exchange of information
- 148Actions for breach of requirements
- 148ASingle Euro Payments Area
- Transitional and saving provisions
- 149Saving of Payment Services Regulations 2009
- 150Transitional and saving provisions: authorised payment institutions
- 151Transitional and saving provisions: small payment institutions
- 152Transitional provisions: payments through network operators
- 153Transitional and saving provisions: general
- 154Transitional provisions: account information services and payment initiation services
- Gibraltar
- 155Application to Gibraltar
- Amendments to legislation
- 156Amendments to primary and secondary legislation
- 157Revocations
- Review
- 158Review Repealed
- Signature
- Schedule 1: Payment Services
- Part 1: Payment services
- 1Paragraph 1
- Part 2: Activities which do not constitute payment services
- 2Paragraph 2
- 3Paragraph 3
- 4Paragraph 4
- Schedule 2: Information to be included in or with an application for authorisation
- 1Paragraph 1
- 2Paragraph 2
- 3Paragraph 3
- 4Paragraph 4
- 5Paragraph 5
- 6Paragraph 6
- 7Paragraph 7
- 8Paragraph 8
- 9Paragraph 9
- 10Paragraph 10
- 11Paragraph 11
- 12Paragraph 12
- 13Paragraph 13
- 14Paragraph 14
- 15Paragraph 15
- 16Paragraph 16
- 17Paragraph 17
- 18Paragraph 18
- 19Paragraph 19
- Schedule 3: Capital requirements
- Part 1: Initial capital
- 1Paragraph 1
- 2Paragraph 2
- Part 2: Own funds
- Own funds requirement
- 3Paragraph 3
- Adjustment by the FCA
- 4Paragraph 4
- 5Paragraph 5
- 6Paragraph 6
- Provision for start-up payment institutions
- 7Paragraph 7
- Method A
- 8Paragraph 8
- Method B
- 9Paragraph 9
- Method C
- 10Paragraph 10
- Application of accounting standards
- 11Paragraph 11
- Schedule 3A: Application and modification of the Banking Act 2009
- 1Insolvency regulations
- 2Insolvency regulations
- 3Insolvency regulations
- 4Insolvency regulations
- 5Insolvency regulations
- 6Insolvency regulations
- Schedule 4: Prior general information for framework contracts
- 1Paragraph 1
- 2Paragraph 2
- 3Paragraph 3
- 4Paragraph 4
- 5Paragraph 5
- 6Paragraph 6
- 7Paragraph 7
- Schedule 5: Credit agreements Repealed
- Part 1: Prohibitions and restrictions Repealed
- 1Power to prohibit the entry into credit agreements Repealed
- 2Power to restrict the entry into credit agreements and to withdraw or vary a restriction Repealed
- Part 2: Procedure and appeals Repealed
- 3Interpretation Repealed
- 4Notice of prohibition or restriction Repealed
- 5Application to withdraw or vary prohibition or restriction Repealed
- 6Notice to the home state competent authority Repealed
- Schedule 6: Application and modification of legislation
- Part 1: Application and modification of the 2000 Act
- 1Disciplinary powers
- 2The Upper Tribunal
- 3FCA rules
- 4Information gathering and investigations
- 5Control over payment institutions
- 6Incoming firms: interventions by the FCA Repealed
- 7Auditors and actuaries
- 8Restriction on disclosure of information
- 9Insolvency
- 10Warning notices and decision notices
- 11Limitation on power to require documents
- Part 2: Application and modification of secondary legislation
- 12The Financial Services and Markets Act 2000 (Service of Notices) Regulations 2001
- 13The Financial Services and Markets Act 2000 (Disclosure of Confidential Information) Regulations 2001
- Schedule 7: Gibraltar
- 1Exercise of market access rights by Gibraltar-based firms
- 2Exercise by authorised payment institutions of market access rights in Gibraltar
- 2AReferences to Gibraltar regulator
- 3Modification of legislation Repealed
- Schedule 8: Amendments to legislation
- Part 1: Amendments to primary legislation
- 1Consumer Credit Act 1974
- 2Financial Services and Markets Act 2000
- 3Enterprise Act 2002
- 4Financial Services (Banking Reform) Act 2013
- Part 2: Amendments to the Electronic Money Regulations 2011
- 5Electronic Money Regulations 2011
- Part 3: Amendments to other secondary legislation
- 6Rehabilitation of Offenders Act 1974 (Exceptions) Order 1975
- 7Individual Savings Account Regulations 1998
- 8Financial Services and Markets Act 2000 (Regulated Activities) Order 2001
- 9Child Trust Funds Regulations 2004
- 10Financial Services (Distance Marketing) Regulations 2004
- 11Investment Bank Special Administration Regulations 2011
- 12Consumer Rights (Payment Surcharges) Regulations 2012
- 13Postal Services Act 2011 (Disclosure of Information) Order 2012
- 14Payments in Euro (Credit Transfers and Direct Debits) Regulations 2012
- 15Payment to Treasury of Penalties (Enforcement Costs) Order 2013
- 16Financial Services Act 2012 (Relevant Functions in relation to Complaints Scheme) Order 2014
- 17Communications Act 2003 (Disclosure of Information) Order 2014
- 18Financial Services and Markets Act 2000 (Excluded Activities and Prohibitions) Order 2014
- 19Public Interest Disclosure (Prescribed Persons) Order 2014
- 20Enterprise Act 2002 (Part 8 EU Infringements) Order 2014
- 21Payment to Treasury of Penalties (Enforcement Costs of the Payment Systems Regulator) Order 2015
- 22Mortgage Credit Directive Order 2015
- 23Small and Medium Sized Business (Credit Information) Regulations 2015
- 24Small and Medium Sized Business (Finance Platforms) Regulations 2015
- 25Payment Accounts Regulations 2015
- 26Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017
- Schedule 9Revocations
- Explanatory note