Regulatory Revolution and New Competition in the European Union Payments Industry
Author: Rory Copeland
Publisher:
Published: 2018
Total Pages: 8
ISBN-13:
DOWNLOAD EBOOKThis article explains, with reference to the UK banking industry, the core problems that exist in the traditional banking system and charts the increasing adoption by consumers of alternative technologies employing e-money and PISPs, which can compete with traditional banks because of PSD2. It outlines how these alternative technologies have avoided the problems experienced by traditional banks and, informed by the effects of similar regulatory changes in the USA and China, anticipates how the consumer experience will change with increased competition for a share of the payments industry. Finally, based on evidence from the Chinese market, it argues that innovative financial technology start-ups and competitors entering the market from other data-heavy, consumer-orientated industries will be ideally placed to take advantage of the EU regulatory changes and challenge the dominance of traditional banks in the payments industry.