News & Resources

APP scams reimbursement requirement

PSR to host engagement sessions on APP scams reimbursement requirement

The Authorised Push Payment (APP) scams reimbursement requirement will officially take effect on 7 October 2024. This policy aims to
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FCA Business Plan 2024/2025

FCA outlines ambitious plans for 2024-25

The Financial Conduct Authority (FCA) has unveiled its Business Plan for 2024-25, setting forth an ambitious agenda for the final
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FCA

Understanding FIN074 returns from the FCA

In a recent communication from the Financial Conduct Authority (FCA), firms are reminded of the importance of understanding their obligations
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HM Treasury launches consultation to enhance money laundering regulations

HM Treasury launches consultation to enhance money laundering regulations

HM Treasury has initiated an open consultation aimed at refining the Money Laundering Regulations (MLRs) to bolster their effectiveness while
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Safeguarding: What to expect of a safeguarding review

Safeguarding: What to expect of a safeguarding review

Safeguarding of client funds continues to be a high priority for the Financial Conduct Authority (FCA) in the payments and
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FCA issues warning to firms over AML failings

FCA issues warning to firms over AML failings

In a recent move, the Financial Conduct Authority (FCA) has taken a significant step in addressing the prevalent anti-money laundering
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FATF Plenary Update

FATF Plenary update: key outcomes and strategic initiatives

The Financial Action Task Force (FATF) convened its February plenary from 21 to 23 February 2024, addressing crucial issues concerning
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FCA enforcement

FCA’s move to faster and more transparent enforcement

In a recent announcement, the Financial Conduct Authority (FCA) unveiled plans to overhaul its enforcement approach, opting for a faster
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Consumer Duty survey findings

Enhancing consumer protection: FCA’s Consumer Duty survey findings

Recently, the Financial Conduct Authority (FCA) released its Consumer Duty firm survey findings for Autumn 2023, shedding light on the
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Fintech Integrated Managed Service

Revolutionising fintech: Neopay unveils Integrated Managed Service

In the fast-paced world of financial technology (fintech), adaptation and innovation are not merely  buzzwords but necessities for staying competitive
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Resources

The registration process for SEMIs is cheaper and more straightforward than authorisation for Authorised E-Money Institutions (AEMIs), however there are additional restrictions placed on the activities of SEMIs.

The FCA would require similar information to an AEMI application but in less detail and would pay close attention to the skills and experience of the business’ senior team.

  • A SEMI’s average outstanding e-money must never exceed €5 million.
  • There are no passporting rights. SEMI’s products can only be offered within the UK.
  • SEMIs can provide unrelated payment services but only if the average monthly total of payment transactions does not exceed €3 million, on a rolling 12 month basis.

To determine their capital requirements, SEMIs are split into two categories. For those whose average outstanding e-money is less than €500,000 and who do not predict their average to reach that point, there is no minimum capital requirement.

For those whose average falls above that limit, there is a minimum capital requirement of 2% of their average outstanding e-money.

The FCA charge application fees as well as on-going supervision fees for authorised entities.

In addition, there are minimum requirements for on-going capital for authorised firms, although not all SEMIs will be required to meet minimum capital requirements (see above).