Online Payment Service Providers and Gateways - Biggest Players

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This email is not intended to nor should it be taken to create any legal relations or contractual relationships. This email has originated from the Financial Conduct Authority (FCA), or the Payment Systems Regulator Limited.

The Financial Conduct Authority (FCA) is registered as a limited company in England and Wales No. 1920623. Registered office: 25 The North Colonnade, Canary Wharf, London E14 5HS, United Kingdom

The Payment Systems Regulator Limited is registered as a limited company in England and Wales No. 8970864. Registered office: 25 The North Colonnade, Canary Wharf, London E14 5HS, United Kingdom

Switchboard 020 7066 1000

Web Site http://www.fca.org.uk (FCA); http://www.psr.org.uk (the Payment Systems Regulator Limited)

Telephone:  0207 066 8080

Email:        [1][FCA request email]

 

Our ref:        FOI5038

 

Dear Mr Navartne

 

Freedom of Information : Right to know request

 

Thank you for your request under the Freedom of Information Act 2000 (the
Act), for the following information about online payment service providers
and online payment gateways. Please refer to Annex A for full detail of
your request.

 

Following a search of our paper and electronic records we are writing to
tell you that we do not hold the information you are seeking.

 

The Payment Services Regulations 2009 and the Electronic Money Regulations
2011 (which implemented the EU Directives) cover the provision of payment
services and e-money respectively. These regulations brought into scope of
regulation previously unregulated firms such as money remitters, merchant
acquirers and e-money firms, but also applied to existing providers of
these services such as banks and building societies. The term ‘payment
services provider’ (PSP) therefore applies to all such firms, including
the major banks. As such in most cases the major PSPs across all payment
services are still the major retail banks, which includes payments
accessible through internet banking.

 

The regulations set out broad payment permissions such as ‘money
remittance’, ‘Issuing payment instruments or acquiring payment
transactions’ and ‘issuing electronic money’. The activities carried out
under these permissions may occur through various channels within an
individual firm including face to face, by telephone or on-line. Firms
often also hold multiple permissions as more than one may be required to
cover an individual product, which means we cannot identify those firms
operating through the on-line channel.

 

In order to facilitate the development of these services and the ability
of newly regulated firms to compete with traditional banks, the UK adopted
a lower impact regulatory regime which includes limited reporting by
firms. As such, firms have not been required to report detailed data on
specific activities or channels (such as on-line). Given this approach to
the new firms, the decision was also made not to require equivalent
reporting from banks etc either. Therefore neither individual firm nor
industry level data is available to enable us to calculate market shares.
The information that firms are required to report is set out in our
relevant approach documents that can be found here:

 

PSRs Approach Document:
[2]https://www.fca.org.uk/publication/archi...

EMRsApproach Document:
[3]https://www.fca.org.uk/publication/archi...

 

If you have any queries please contact me.

 

 

Yours sincerely

 

 

Information Disclosure Team / Cyber and Information Resilience Department

[4]cid:image003.jpg@01D04D1A.B7D20FF0

Financial Conduct Authority

25 The North Colonnade

Canary Wharf

London

E14 5HS

 

Tel:    +44 (0)20 7066 8080

[5]www.the-fca.org.uk

 

Annex A

 

Request received on 9 March 2017:

 

“Please supply the following information:

 

“1) In terms of online payment service providers [1], what proportion [2]
of the market does the:

 

a) biggest player hold. [3]

b) second biggest player hold. [3]

 

2) Similarly, for online payment gateways [4][5], what proportion [2] of
the market does the:

 

a) biggest player hold. [3]

b) second biggest player hold. [3]

 

 

[1] - Used when paying for goods/services online. Also known as electronic
money (e-money). A list can be found at:
[6]https://en.wikipedia.org/wiki/List_of_on...

 

[2] - in terms of a percentage.

 

[3] - Please provide yearly figures from 2005 through to the latest year
for which you hold data. (including up to now of 2017 or part thereof)

 

Biggest/Second biggest Players – In terms of merchant and customer base.

 

[4] - A definition of a payment gateway can be found at:
[7]https://en.wikipedia.org/wiki/Payment_ga...

 

However, I require "online" payment gateway provider data.

 

[5] - Some examples are listed at:
[8]https://reasondigital.com/advice-and-tra...
”

 

This communication and any attachments contain information which is
confidential and may be subject to legal privilege. It is for intended
recipients only. If you are not the intended recipient you must not copy,
distribute, publish, rely on or otherwise use it without our consent. Some
of our communications may contain confidential information which it could
be a criminal offence for you to disclose or use without authority. If you
have received this email in error please notify [email address]
immediately and delete the email from your computer. Further information
on the classification and handling of FCA information can be found on the
FCA website
(http://www.fca.org.uk/site-info/legal/fc...).

The FCA (or, if this email originates from the Payment Systems Regulator
Limited, the FCA on behalf of the Payment Systems Regulator Limited / the
Payment Systems Regulator Limited) reserves the right to monitor all email
communications for compliance with legal, regulatory and professional
standards.

This email is not intended to nor should it be taken to create any legal
relations or contractual relationships. This email has originated from the
Financial Conduct Authority (FCA), or the Payment Systems Regulator
Limited.

The Financial Conduct Authority (FCA) is registered as a limited company
in England and Wales No. 1920623. Registered office: 25 The North
Colonnade, Canary Wharf, London E14 5HS, United Kingdom

The Payment Systems Regulator Limited is registered as a limited company
in England and Wales No. 8970864. Registered office: 25 The North
Colonnade, Canary Wharf, London E14 5HS, United Kingdom

Switchboard 020 7066 1000

Web Site http://www.fca.org.uk (FCA); http://www.psr.org.uk (the Payment
Systems Regulator Limited)

References

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2. https://www.fca.org.uk/publication/archi...
3. https://www.fca.org.uk/publication/archi...
5. http://www.the-fca.org.uk/
6. https://en.wikipedia.org/wiki/List_of_on...
7. https://en.wikipedia.org/wiki/Payment_ga...
8. https://reasondigital.com/advice-and-tra...