PSR (Payment Systems Regulator)

The Payment Systems Regulator (PSR) is a statutory body established under the Financial Services (Banking Reform) Act 2013, accountable to Parliament and working alongside the Financial Conduct Authority (FCA). Its remit covers the interbank payment systems used in the UK, including Faster Payments, CHAPS, and card networks. In the context of consumer protection, the PSR's most significant power is its ability to mandate reimbursement rules for victims of authorised push payment (APP) fraud.

Following years of voluntary codes, the PSR introduced mandatory APP fraud reimbursement rules that took effect in October 2024. Under these rules, banks and payment service providers that are part of the Faster Payments scheme are generally required to reimburse victims of APP fraud up to a set limit, with both the sending and receiving institutions sharing responsibility. There are exceptions for cases of consumer gross negligence or deliberate fraud, and certain categories of transaction are excluded.

Consumers do not interact with the PSR directly. If you have been a victim of APP fraud, you should first report to your bank, which is obligated to assess your claim under the reimbursement rules. If your bank rejects your claim or you are unhappy with the outcome, you can escalate to the Financial Ombudsman Service (FOS) for free adjudication. The PSR's website at psr.org.uk publishes consumer guidance and the full text of the reimbursement rules.