Campaign reply - Authorised Push Payment Fraud - are the banks doing enough to prevent it?

Thank you for contacting me about the Payment Systems Regulator (PSR) and scam reimbursement.

 

Unfortunately, due to urgent parliamentary business, I was unable to attend this event. However,  I am very sorry to hear you have been personally impacted by this issue. The PSR, established in 2015, is tasked with promoting competition, innovation, and ensuring that payment systems are operated and developed in a way that considers and promotes the interests of businesses and consumers who rely on them.

 

I welcome that the Government will seek legislative changes to provide for mandatory reimbursement for victims of Authorised Push Payment (APP) scams. This is a serious and growing issue, with UK Finance figures showing that in the first half of 2021, a total of £355 million was lost to APP scams – an increase of 71 per cent compared to losses seen in the same period in 2020.

 

It is my understanding that the Government’s position is that liability and reimbursement requirements on firms need to be clear so that customers are suitably protected. It is welcome that the Payment Systems Regulator has consulted on measures to that end, and to help prevent these scams from happening in the first place.  

 

Once again, thank you for taking the time to write. If you require any further assistance, then please do not hesitate to get in touch.