Economic Secretary to the Treasury and City Minister Kitty Ussher, MP speaks at the 3rd Global Consumer Money Transfer Conference at the Dorchester Hotel, Park Lane, London
Economic Secretary to the Treasury and City Minister Kitty Ussher, MP in opening the 3rd Global Consumer Money Transfer Conference on 29th and 30th October at the Dorchester Hotel, Park Lane, London took the opportunity to announce future plans for the regulation of the payments sector.
In her opening remarks she said,“I would like to start by congratulating IAMTN for putting together an impressive line-up of speakers, for the new partnership with Capgemini and for establishing themselves so strongly, just two years after the Associatioin was creater, as a global representative of the money transfer industry.”
Ms Ussher went on to refer to the future regulatory arrangements for the money transfer sector in the light of the EU Payment Services Directive which comes into force in November 2009.
The overarching aim of the Payment Services Directive is to support the Single Market in financial services. Currently, cross-border competition in payments is hampered by differing national standards. The Directive creates a harmonised legal framework for payment services such as direct debits,
card payments and remittances.
To this end it has been agreed that there should be a new licensing regime for non-bank payment services such as money transfer operators which will allow them to operate through the EU.
The details of implementing the provisions of the Payment Services Directive into UK law are now being considered, and the Treasury will publish consultation documents on implementation later this year.
Kitty Ussher said"I know there has been some uncertainty in the industry about regulation - and today I am pleased to be able to end that uncertainty by annoucing that the Financial Services Authority, the FASA, will be the UK regulator for the supervision of payment service provision, under the Directive - and I believe that will provide the most effective approach.
“However I also believe that the HMRC are best placed to continue their work supervising the anti-money laundering requirements on money service businesses, established by the Third Money laundering Directive - and so they will retain that responsibility.”
Says Lady Olga Maitland, CEO, IAMTN:"We take it as a real compliment that Ms Ussher chose to use our platform to make such an important announcement.
"As she said, that has been some uncertainty for quite a while about how the
payments industry will be licensed. The reality is that money service
businesses who receive a licence from the FSA, will be able to operate through the European Union. In effect a passport to all the EU countries without having to seek separate licences or permissions. In our view this makes sense - placing us on par with the banking sector who offer similar services.
"The smaller money service businesses who operate on single corridors eg.
UK to Poland, UK to Nigeria and so on, and have an income below a certain level, will receive a waiver from the HMRC to operate solely in that area from the UK.
“IAMTN will take representations from the payments sector and respond to the Minister on her consultation document regarding futher implementation of the Payment Services Directive.”
For further information see the Treasury link:
- Contact Information
- Lady Olga Maitland
- Contact via E-mail
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