The Payment Systems Regulator (PSR) published a strategy update. It set out its five-year strategy in January 2022. In May 2024, the PSR announced a mid-point review of its strategy.

Since launching its Strategy in 2022, the PSR says that it has made strong progress in delivering positive change, including introducing protections against APP fraud, advancing Open Banking, and reviewing card fees. However, the payments landscape is constantly evolving, with new technological and market innovations. 

Having reflected on these developments, the PSR will focus on three core commitments within its remit for the remainder of the Strategy's term. These are to: 

• Complete the work which is already under way – protecting consumers and supporting competition. The PSR will fully embed its APP fraud reimbursement requirements, including commissioning an independent review, and deliver the outcomes from its card market reviews. It will also work closely with the FCA to enable it to take forward work on the overall framework for commercial Open Banking payments, focussing on the initial phase of Variable Recurring Payments, which offers consumers more choice and control when making payments. 
• Drive forward, with the Bank of England, work to upgrade the Faster Payments system, and reform of Pay.UK, as well as assess long term retail infrastructure needs. It says this is critical to providing a sound foundation for future innovation and competition in payments.
• Strengthen its focus on competition and innovation in payments systems, promoting economic growth and enabling future developments. The PSR will build its innovation capability, focussing on removing unnecessary barriers to payments innovation and helping to create the conditions for innovation in payment systems to thrive. The PSR will ensure that as it takes action, it considers how that supports economic growth and will play its role in supporting the UK government's growth mission.

It also says that collaboration between regulators and the private sector is key to success of UK payments. While the PSR's remit focuses on payment systems, it works closely with industry participants, consumers, businesses, and trade bodies to gather insights and deliver change across the ecosystem. The PSR will work more closely with the FCA, Bank of England and other authorities with the aim of delivering positive outcomes. To further strengthen alignment and working relationships, together with the FCA, it has created a new joint role of Executive Director of Payments and Digital Assets at the FCA and Managing Director of the PSR. This aims to support delivery of an innovative, safe and competitive payments sector into the future.