In the latest edition of our regular update for the banking industry we look at topics including a new case on the definition of "financial institution" for transferability provisions, UK plans to align open banking reforms with PSD2 and an ECB warning that banks' Brexit relocation plans are inadequate.
Court affirms wide definition of a 'financial institution'
LEGAL UPDATE: The High Court has ruled that a company established by a secondary debt trader to acquire and hold a lender's rights under a facility agreement as its nominee satisfied the criterion of being a "financial institution" under the transferability provisions in the facility agreement.
UK moves to align open banking reforms with PSD2
The UK's open banking regime is to be expanded to apply to all payment accounts that fall within the scope of new EU payment services laws, the body set up to enable the reforms has said.
No new capital requirements for UK banks following 'severe' Bank of England stress tests
None of the UK's largest banks will be ordered to set more capital aside to cover potential liabilities following this year's 'stress tests', the Bank of England has confirmed.
Banks' Brexit relocation plans inadequate, ECB warns
Some of the plans submitted by UK-headquartered banks wishing to continue to operate in the euro area after Brexit have been criticised as inadequate by financial regulators.
Regulator reports growing concern from EU banks about cyber risk and data security
Concerns are growing among EU banks about the risks they face in relation to cyber and data security, according to the European Banking Authority (EBA).
Embrace instant payments to fend off new competitors in the market, banks told
Banks should update their IT systems to provide for instant payments if they want to stave off competition from new entrants to the market when new EU laws on payment services take effect, a senior official at the European Central Bank (ECB) has said.
Pace of regulatory change an issue for 'nearly every' wholesale bank
Wholesale banks remain concerned about the pressures of complying with the "volume, pace and complexity" of new regulation, according to a survey of compliance officers.
PSD2: 'screen scraping' ban confirmed in finalised standards
Financial technology (fintech) will be banned from using software to 'scrape' data held by banks to provide services to their customers under new regulatory technical standards (RTS) in Europe.
Collaboration between banks and fintechs will be at the heart of 'Open Banking'
ANALYSIS: Collaboration between banks and fintechs will be at the heart of the future of 'Open Banking'. That is the consensus of experts from across industry, according to a study carried out by Pinsent Masons and Innovate Finance.
LEGAL UPDATE: An opinion of Lord Doherty in the Outer House of the Court of Session in Scotland affirms academic consensus and provides judicial authority that, under a strict reading of s120(6) Insolvency Act 1986 (IA86), the Court of Session has no jurisdiction to issue an administration order over a company registered in England and Wales, even if its central business and operations are based in Scotland. The case is a reminder to creditors that a petition seeking an administration order must be filed with the correct court.
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