UK Finance proposes new oversight model for Open Banking

As the Open Banking implementation roadmap enters the final stages, UK Finance is proposing that the oversight of Open Banking functions should be moved to a new service company upon completion in 2021.

Since inception, the Open Banking Implementation Entity (OBIE), overseen by the Implementation Trustee, has overseen the developing of standards, providing operational and technical services.

The Trustee has said that after the roadmap has been successfully delivered, this will signal the close of the Open Banking implementation phase.

“The OBIE cannot be simply wound up,” comments UK Finance. “Functions that the wider ecosystem depend on will need to continue: such as maintenance of Open API Standards and the provision of a directory of whitelisted Open Banking participants.”

The trade body is proposing the creation of a new service company, with firms paying “fair and equitably” for their use of central services. As part of this, a separate monitoring function would be established to review ongoing compliance with the CMA’s Order.

The report, which has been published in partnership with Accenture, recommends that the service company Board should comprise of a mix of independent and industry experts with customer experience. It also provides insight on the importance of monitoring the execution of the original CMA Order on the CMA9 and how this should remain separate from the service company.

Eric Leenders, UK Finance managing director, personal finance, says: “It is vital that the Open Banking service community works together to ensure that the transition from the current roadmap to a more permanent plan is smooth, enabling the UK to maintain its world leading position in Open Banking as it develops.”