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CMA issues new July 2022 deadline for VRPs on OBIE's recommendation

Monday 22 November 2021 10:43 CET | News

The CMA has approved a revised deadline of July 2022 for the implementation of variable recurring payments (VRPs) for sweeping services by the largest UK current account providers, on the recommendation of the OBIE.

The deadline has been pushed back from January 2022, after the OBIE wrote to the CMA on 8 November with a proposed new timeline for the CMA9, which includes Allied Irish Bank, Bank of Ireland, Barclays, Danske, HSBC, Lloyds Banking Group, Nationwide, NatWest Group and Santander, to implement the requirements.

Under the approved timescale for delivery of the VRP standard for sweeping, the CMA9 banks will be required to share a “detailed delivery plan for full capability” with the OBIE by January 2022 and be ready to begin TPP testing and validation in the first quarter of 2022.

They must then have completed testing of the VRP standard in a live, controlled environment by TPPs by July 2022, “so the firms are ready to progress general availability of the standard”.

In a letter to the OBIE, Daniel Gordon, senior director, markets at the CMA, wrote: “The CMA has considered the recommendation and agrees that, under the circumstances, revising the implementation timetable for the VRP standard for sweeping services in the way you recommend is the most appropriate way to proceed. In particular, we agree that in order for the standard to be considered implemented, it needs to be available for general use by TPPs.

“While it is clearly disappointing that the January 2022 timeframe will not be met, it remains vitally important to ensure that work to progress the standard’s implementation continues as a priority, and at pace, across the CMA9.”

In a statement, the OBIE said it welcomed the announcement from the CMA.

 


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Keywords: Open Banking, Variable Recurring Payments
Categories: Banking & Fintech
Companies:
Countries: United Kingdom
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Banking & Fintech