The Financial Conduct Authority (FCA) and the Payment Systems Regulator (PSR) have jointly issued a Call for Information to gather insights on the impact of digital wallets, a key component of big tech’s growing influence in the payments landscape. As digital wallets continue to reshape the way consumers and businesses handle transactions, the regulators are seeking focused input on a range of issues that could shape the future of payments in the UK.
Key areas of focus
The FCA and PSR are particularly interested in understanding:
- Benefits to service users: How digital wallets enhance the user experience and what advantages they bring to consumers and businesses.
- Potential shortcomings: Any features of digital wallets that might limit their effectiveness or create barriers for users.
- Impact on competition: The role of digital wallets in promoting account-to-account payments and their effect on competition within the payment systems sector.
- Consumer protection and market integrity: Whether the growing adoption of digital wallets poses any significant risks to consumer protection or market integrity, both now and in the future.
Read Call for Information: Big tech and digital wallets (PDF)
How to participate
The regulators are keen to hear from a wide range of stakeholders, including digital wallet providers, technology firms, service users, and other interested parties. Contributions will help the FCA and PSR assess the opportunities and challenges posed by digital wallets, as well as their potential impact on the broader financial ecosystem.
Interested parties are invited to submit their views by 5pm on Friday 13 September 2024. Submissions can be emailed to FCA-PSR-digitalwallets@psr.org.uk, or sent by post to:
Digital Wallets CFI
Payments Systems Regulator
12 Endeavour Square
London E20 1JN
or
Digital Wallets CFI
Financial Conduct Authority
12 Endeavour Square
London E20 1JN
Stakeholders who wish to discuss their views directly with the team are encouraged to use the provided email address to arrange a conversation.
Next steps
Following the close of the Call for Information, the FCA and PSR will analyse the feedback received and publish an update in Q1 2025. This update will inform their ongoing work in ensuring that the UK’s payment systems and financial markets remain competitive, secure, and beneficial for all users.
