Overview
- Regulatory protections for buy now, pay later take effect on 15 July 2026, bringing these products within the FCA’s Consumer Duty.
- Providers must obtain FCA authorisation, with a temporary permissions window running 15 May to 1 July and a subsequent six‑month deadline to file full applications.
- Firms will be required to give clear, upfront disclosures on payment dates, amounts due and the consequences of missed instalments.
- Lenders must conduct proportionate affordability checks, support customers in difficulty and provide access to redress through the Financial Ombudsman Service.
- The FCA framed the measures as proportionate for a market used by 11 million people, while Clearpay welcomed the rules and advisers highlighted a sector now valued at over £13bn.