The UK’s Payment Systems Regulator (PSR) has outlined an agenda for the 2026/27 financial year, prioritizing reductions in excessive card charges, robust safeguards against authorized push payment (APP) fraud, and broader advancements in competition and innovation within the UK’s payment systems.
Released on 26 March 2026, the UK regulator’s annual blueprint details how it will extend recent improvements, intervene in areas where markets fall short for consumers and businesses, and contribute to the National Payments Vision in partnership with the Bank of England, the Financial Conduct Authority (FCA), and HM Treasury.
The document spells out the PSR’s core objectives, planned initiatives, and budget allocations for the coming period.
A major strand of activity will target card fees.
The PSR intends to move forward with measures on cross-border interchange fees while introducing remedies for domestic scheme and processing charges.
These steps aim to correct persistent weaknesses in competition that have kept costs artificially high for merchants and, ultimately, consumers.
Fraud prevention remains a top priority.
The regulator will publish an independent review of the first full year of mandatory reimbursement rules for APP scams and respond to its findings.
At the same time, it will closely monitor whether authorized firms are meeting the high standards expected of them, ensuring that world-leading consumer protections continue to function effectively.
The PSR will also oversee the rollout of essential payments infrastructure.
Working through the Payments Vision Delivery Committee, it will collaborate with the Bank of England, HM Treasury, and the FCA to keep critical systems on track and deliver tangible benefits across the economy.
Open banking will enter its next important phase.
Plans include developing a durable long-term regulatory framework and clarifying future oversight arrangements so that innovation can flourish while maintaining necessary safeguards.
To strengthen its overall effectiveness, the PSR will enhance supervision and enforcement practices, aligning more closely with the FCA’s approach.
This coordination is designed to create a more consistent and efficient regulatory environment.
Recognizing the upcoming consolidation of the PSR into the FCA, the regulator is placing particular emphasis on a smooth transition.
Detailed planning will minimize disruption, provide regulatory certainty, and allow authorised entities to operate confidently throughout the change.
David Geale, Managing Director of the PSR, emphasized the organization’s forward-looking priorities.
He noted that the coming year will see continued focus on fraud reduction, fee reform, open banking expansion, and infrastructure oversight. \
Amid organizational shifts, the PSR’s role is to deliver stability, transparency, and assurance to everyone who relies on payment services while encouraging healthy competition and fresh ideas.
Ashley Alder, Chair of the PSR, reinforced this message.
He highlighted the regulator’s ongoing dedication to fostering competition and innovation, while offering clear guidance to firms, consumers, and businesses as the sector prepares for future regulatory evolution.
Taken together, the 2026/27 work program positions the PSR as a proactive force in shaping a fairer, safer, and more dynamic payments landscape. By addressing long-standing market failures and supporting national strategic goals, the regulator aims to deliver measurable benefits for individuals and enterprises.
