PSR highlights expanded powers under FSMA 2023
The PSR reiterated that FSMA 2023, in force since 29 June 2023, advances payments regulation and expands the PSR's regulatory toolkit.
FSMA 2023 gives the PSR broader tools to regulate a fast-evolving payments sector. Payment service providers should anticipate more granular rule-making, supervisory intervention, and enforcement activity as the PSR operationalises these powers.
Expanded statutory powers shape supervisory expectations and enforcement risk for UK payments firms.
Action Required
Reassess payments compliance frameworks against PSR's expanded FSMA 2023 powers and update change-management plans accordingly.
Foundational legislative change underpinning PSR supervisory and enforcement activity across payments.
Map FSMA 2023-derived PSR powers to current payments obligations; ensure horizon-scanning captures related consultations, and update the payments regulatory change register.
“PSR: FSMA 2023 received Royal Assent on 29 June 2023 and advances payments regulation, giving the PSR tools to regulate a complex, ever-changing sector.”