Since our last publication, a ban on hidden debit or credit card charges has come into effect, and HM Treasury has responded to its consultation on transposing IDD.
Ban on hidden payment fees comes into effect
A ban on hidden charges for paying with a debit or credit card has come into effect. The move is designed to help consumers avoid fees when spending money. The ban on ‘surcharging’ comes as part of the second Payment Services Directive (PSD2). The government estimates that surcharging cost UK customers £166m in 2015. From now on it will be unlawful for retailers to charge additional fees when someone uses:
- a particular credit or debit card
- other payment systems like PayPal
HM Treasury, 15 January 2018
HM Treasury response to consultation on transposing IDD
HM Treasury has published its response to its February 2017 consultation on transposing the Insurance Distribution Directive (2016/97/EU) (IDD). In the response, HM Treasury confirms that the government has maintained its core position on all of the covered policy areas. A revised draft of the Insurance Distribution (Regulated Activities and Miscellaneous Amendments) Order 2018 has also been published. A related webpage explains that the Order will be laid before parliament in "due course" and come into force on 23 February 2018.
HM Treasury, 15 January 2018
FCA updates electronic money and payment institutions webpages to reflect implementation of PSD2
The FCA has updated a number of webpages to reflect the implementation of the revised Directive on payment services in the internal market ((EU) 2015/2366) (PSD2). These include:
- reporting requirements: payment service providers (PSPs) and electronic money issuers (EMIs);
- send financial reports: EMIs, electronic money and payment institutions;
- the PSD2 navigator; and
- excluded services under the PSRs 2017.
FCA, 15 January 2018
FCA policy development update: January 2018
The FCA has updated its policy development update webpage for January 2018. This update summarises the FCA's proposed future publications and highlights the changes made to the webpage since it was last updated on 1 December 2017.
FCA, 12 January 2018
Payment Accounts Directive technical standards published in OJ
The following technical standards required under the Payment Accounts Directive (2014/92/EU) (PAD) were published in the Official Journal of the EU (OJ):
- Commission Delegated Regulation (EU) 2018/32, which contains regulatory technical standards (RTS) for standardised terminology for the most representative services linked to a payment account. The RTS relate to mandates under Article 3(4) of the PAD. The standard terms and definitions for the services linked to a payment account that are common to at least a majority of member states are set out in the Annex to the Delegated Regulation.
- Commission Implementing Regulation (EU) 2018/33, which contains implementing technical standards (ITS) with regard to the standardised presentation format of the statement of fees and its common symbol. The ITS relate to a requirement under the PAD that member states ensure that payment service providers (PSPs) provide the consumer, at least annually and free of charge, with a statement of all fees incurred, as well as, where applicable, information regarding the interest rates for services linked to a oayment account.
- Commission Implementing Regulation (EU) 2018/34, which contains ITS with regard to the standardised presentation format of the fee information document and its common symbol. The ITS relate to a requirement under the PAD that member states ensure that PSPs provide the consumer with a fee information document on paper or another durable medium containing the standardised terms in the final list of the most representative services linked to a payment account and, where such services are offered by a PSP, the corresponding fees for each service.
OJ, 11 January 2018
European Parliament to consider proposed delay to IDD application date at February 2018 plenary session
The European Parliament has indicated that it will consider the proposed Directive amending the application date of the Insurance Distribution Directive ((EU) 2016/97) (IDD) at its plenary session of 28 February to 1 March 2018.
European Parliament, 15 January 2018
EBA registers list payment and electronic money institutions under PSD2
The European Banking Authority (EBA) has published the national registers of payment and electronic money institutions under the revised Payment Services Directive (PSD2). Each Member State, plus Norway and Liechtenstein, is to list authorised or registered institutions at national level, although currently the registers for 10 countries are not available. The information is updated on a regular basis.
EBA, 15 January 2018