Joint Regulatory Oversight Committee sets out next steps to help UK open banking grow

The Financial Conduct Authority, FCA, has published a press statement to inform of some upcoming activities of the Joint Regulatory Oversight Committee (JROC), co-chaired by the FCA and the Payment Systems Regulator (PSR), which is responsible for overseeing the planning, transition, vision, and strategic roadmap for the future open banking entity, as well as monitor its operations until a permanent open banking regulatory framework is established.
In its press statement, the FCA specifically notes that the JROC has established dedicated workstreams to address six key priorities and recommendations as set out in the corresponding Recommendations for the next phase of open banking in the UK from April 2023. These include the following – as quoted:
– Levelling up availability and performance
– Mitigating the risks of financial crime
– Developing proposals for dispute processes
– Improving information flows to third party providers and end users
– Expanding the use of variable recurring payments (VRPs)
– Developing the design of the future open banking entity.
The first four workstreams will be led and coordinated by Open Banking Limited (OBL), the current Open Banking Implementation Entity in charge of the oversight of open banking activities, which will soon be replaced by a new future open banking entity. It will report to the JROC on a monthly basis on its progress in those areas. A detailed activity plan of the OBL is outlined in the enclosed letter that was sent to the OBL in this context.
To support the last two workstreams, the Committee will form two new working groups: one focused on VRPs and the other on shaping the future open banking entity. Both working groups are expected to be launched by end of June 2023. First results are expected in September 2023.