NPA Transition Questionnaire
Pay.UK received an excellent response to the FPS transition questionnaire with 63% of current and future (organisations that have expressed serious interest in joining Faster Payments) participants responding. This accounts for 97% of current FPS transaction volumes.
The questionnaire was open over the summer and asked industry to consider our recommended FPS transition approach (‘all receive, then send’), the adoption of ISO 20022 messaging standards and broader transition considerations.
You can download the full report below. The key findings from the questionnaire were:
- The results of the questionnaire show that a controlled ‘all receive, then send’ approach received near-unanimous support from industry. To mitigate against delays, the majority of responders were keen to see the introduction of commercial and regulatory incentives to adhere to agreed migration timelines.
- Responses from high-volume, more complex participants indicated a transition window of 12 months would be required to move FPS traffic to the NPA. Smaller organisations indicated a shorter period may be achievable.
- Respondents also indicated that a dual collateralisation/settlement model through transition was a key concern. Pay.UK should support transition by working with participants and the Bank of England to mitigate the impact through the transition window.
- Adoption of the ISO 20022 message standard has a central role in transition. The majority of responders were keen to see certain enhancements introduced at the time of transition. This approach is in line with adoption of ISO20022 in other market infrastructures.
As we move forward with programme and transition state planning this report and the responses received will be a valuable input to decisions that lie ahead. We will engage with stakeholders on our findings between now and the end of November
A copy of the report is available for download below. Please contact NPAEngagement@wearepay.uk if you have any questions.