• Jan van Vonno, Research Director at Tink


• 25.03.2022 11:15 am
#OpenBanking

“At Tink we’re pleased with the consultation response by the UK’s Competition and Market Authority (CMA) and the Treasury’s announcement. It is important for the entire ecosystem to understand what the next steps are for the open banking regime.

“The UK is the only country in Europe where the competition authority is directly overseeing the development of open banking. The currently bank-funded Open Banking Implementation Entity (OBIE) stands between banks, third-party providers (TPPs) and the regulators. Although the work of the OBIE has allowed for the creation of granular APIs and a thriving ecosystem, we believe there’s still much that can be done to unlock the value that open banking can bring — especially in payments.

“Now that the CMA Order 2017 is finally nearing its completion (with the implementation of sweeping being the last item on the roadmap), the role for the OBIE is also coming to an end under its current mandate. We believe it is up to the ecosystem (financial institutions, third-party providers, beneficiaries and consumer organisations) to come together and define a new direction for the OBIE.

“The announcement of the JROC will help ensure a smooth transition towards a Day 2 scenario where the ‘Future Entity’ can leverage the existing infrastructure to expand the current capabilities into the realm of open finance.

“While the CMA will continue to monitor the reporting of management information by the banks, it is now up to the Financial Conduct Authority (FCA) and the Payment Systems Regulator (PSR) to step forward and oversee the Payment Services Regulations 2017 (PSRs 2017) while supporting the development of open finance.”