On 8 April 2025, the Bank of England (BoE) published its response following its discussion paper on reviewing access to Real-Time Gross Settlement (RTGS) accounts for settlement.
In its response the BoE provides its comments on the feedback it received to its discussion paper which encouraged respondents to think strategically about current and future access to RTGS across four priority areas:
- Enhancing the BoE/Financial Conduct Authority (FCA) process for consideration of non-bank payment service providers (NBPSPs) seeking access to RTGS.
- Understanding demand of foreign banks for access to RTGS to support payment system settlement.
- Clarifying requirements for financial market infrastructures to access RTGS.
- Reviewing the CHAPS value threshold.
In addition the BoE notes that in response to the feedback it has undertaken several concrete actions to facilitate greater direct access to RTGS and this includes publishing new RTGS rules which include eligibility criteria for use of RTGS accounts for settlement as well as settlement services.
Looking ahead, the BoE is exploring whether and on what terms it could offer NBPSPs settlement accounts (which are typically unremunerated) with safeguarding facilities. It is also supporting efforts to reform the regulatory regime for NBPSPs to support enhanced access to RTGS. This includes working with HM Treasury and the FCA to identify and address unwarranted regulatory barriers to access and develop policies that support the participation of NBPSPs in UK payment systems.
The BoE is also keen to engage further with the industry to inform its policy work on addressing concentration risk within CHAPS and the appropriateness of the current threshold for direct access.