E-money and payment firms will pay a price if they don’t act on new safeguarding rules
In February 2025 the FCA closed its Consultation Paper on enhancing the safeguarding requirements for e-money and payment institutions (EMIs/PIs), moving them closer to the full Client Assets Sourcebook (CASS) framework. In the consultation, the FCA has recognised the weaknesses in the current safeguarding arrangements and in key areas such as the identification of ‘relevant funds’; reconciliation procedures; and the segregation of funds.
