The UK’s Financial Conduct Authority (FCA) has today published its response to the European Banking Authority (EBA) Opinion on Strong Customer Authentication. The EBA Opinion was published in response to industry questions about which authentication factors comply with the requirements of SCA and allows the FCA to give firms more time to prepare.
The new rules, which require firms to implement stronger payment security measures, come into force on 14 September 2019. In a statement, the FCA says that it recognises the challenges the industry has in meeting this deadline and aims “to quickly agree a plan with stakeholders across the industry that encompass a blueprint for compliance and readiness, a timetable for achieving this, and key milestones and targets to deliver improved security of customer authentication and fraud reduction along the way.”
The FCA says that it will work in close cooperation with industry and other authorities including the Payment Systems Regulator (PSR) “to ensure delivery of the blueprint at pace.”
The FCA says in its statement that it will not take enforcement action against firms if they do not meet the relevant requirements for SCA from 14 September “in areas covered by the agreed migration plan, where there is evidence that they have taken the necessary steps to comply with the plan.”
Read the FCA’s statement in full: https://www.fca.org.uk/news/statements/fca-response-european-banking-authority’s-opinion-strong-customer-authentication