> PSD2 still applies. That was integrated into U.K. law long before Brexit. It would take an act of parliament to unwind.
It's not that simple. The FCA is no longer an EEA National Competent Authority and UK Third Party Providers must register with an EEA NCA to continue to operate in the EEA. Domestic legislation which put PSD2 in force is of course still UK law, and domestic TPPs and Account Servicing Payment Service Providers can continue to operate together (even using the same eiDAS certs), but they cannot engage in open banking with the rest of the EU/EEA.
PSD2 and its supporting institutions (EBA, EPC, ECJ) no longer apply to the UK.
> Additionally the U.K. has generally been on the leading edge of open banking, which is why our standards weren’t identical to the EUs for a while. It’s going nowhere, and pass-porting will make no difference.
Internally, maybe, but UK TPPs and ASPSPs can no longer interoperate with EU/EEA TPPs and ASPSPs unless they register with an EU/EEA NCA, and thus become subject to EU Directives. Again it comes back to your definition of "open banking". If you mean only UK banks and firms being able to operate an open banking scheme, then you are correct that this will continue. If you mean open banking as defined by PSD2, it has already come to an end in the UK.
> The only real impact of Brexit is the open banking entities will need to register separately in the U.K. and the EU, and be subject to two different regulators. But that’s just paperwork for the most part.
So either UK TPPs and ASPSPs have to abide by EU Directives (if possible - the UK legislature may diverge from the EU in unreconcilable ways), or the UK has to maintain alignment with the EU indefinitely. Doesn't seem like just paperwork to me.
It's not that simple. The FCA is no longer an EEA National Competent Authority and UK Third Party Providers must register with an EEA NCA to continue to operate in the EEA. Domestic legislation which put PSD2 in force is of course still UK law, and domestic TPPs and Account Servicing Payment Service Providers can continue to operate together (even using the same eiDAS certs), but they cannot engage in open banking with the rest of the EU/EEA.
PSD2 and its supporting institutions (EBA, EPC, ECJ) no longer apply to the UK.
> Additionally the U.K. has generally been on the leading edge of open banking, which is why our standards weren’t identical to the EUs for a while. It’s going nowhere, and pass-porting will make no difference.
Internally, maybe, but UK TPPs and ASPSPs can no longer interoperate with EU/EEA TPPs and ASPSPs unless they register with an EU/EEA NCA, and thus become subject to EU Directives. Again it comes back to your definition of "open banking". If you mean only UK banks and firms being able to operate an open banking scheme, then you are correct that this will continue. If you mean open banking as defined by PSD2, it has already come to an end in the UK.
> The only real impact of Brexit is the open banking entities will need to register separately in the U.K. and the EU, and be subject to two different regulators. But that’s just paperwork for the most part.
So either UK TPPs and ASPSPs have to abide by EU Directives (if possible - the UK legislature may diverge from the EU in unreconcilable ways), or the UK has to maintain alignment with the EU indefinitely. Doesn't seem like just paperwork to me.