UK Government to Abolish Payment Systems Regulator in Regulatory Overhaul

The Payment Systems Regulator will merge into the Financial Conduct Authority to streamline operations and reduce regulatory burdens on businesses.

Prime Minister Keir Starmer announced the decision to disband the Payment Systems Regulator (PSR) as part of efforts to boost economic growth and simplify regulations.
The PSR's responsibilities will be transferred to the Financial Conduct Authority (FCA) following the passage of necessary legislation in Parliament.
The government argues the move will reduce red tape, particularly benefiting smaller businesses that face disproportionate regulatory costs.
The PSR and FCA are collaborating to ensure a smooth transition of duties, with no immediate redundancies expected among the PSR's 185 staff members.
The PSR will retain its statutory powers until the legislative process is complete, with activities like fraud reimbursement programs continuing in the interim.