Charlotte Hill writes for Law360 on the impact of the FCA's latest Portfolio Letter on payments firms
On 3 February 2025, the FCA published a Portfolio Letter to the Chief Executives of payments firms supervised by it, setting out its priorities for those firms and actions it expects them to take.
The Portfolio Letter follows an earlier letter, published by the FCA on 16 March 2023. That earlier letter to payments firms set out the actions the FCA expected the firms to take to achieve three outcomes the FCA had set for payments firms and three cost-cutting priorities: To ensure their customers’ money is safe; To ensure that firms were not compromising the integrity of the financial system; and ensuring that the firm’s customers' needs are met through high quality products and services. The FCA also reminded firms that they needed to implement and comply with the Consumer Duty.
Charlotte Hill, Partner in our Financial Services Regulation & Funds team, explores the detail of the Portfolio Letter - and the requirements it places on payments companies - in an article for Law360. Charlotte explains:
The FCA's latest Portfolio Letter to payments firms underscores critical actions and priorities that payments firms must address to ensure compliance and operational effectiveness. The FCA asks the CEOs of payments firms to identify the messages in the letter that are relevant to their firm and their conditions of authorisation or registration and to take appropriate action.
Read the full article in Law360 here (subscription required).
