PARLIAMENTARY WRITTEN QUESTION
Electronic Funds Transfer: Fraud (3 June 2020)

To ask the Chancellor of the Exchequer, what assessment he has made of the efficacy of the Contingent Reimbursement Model Code for Authorised Push Payments in helping to protect consumers from authorised push payments scams; and if he will make a statement.

Asked by:
Mohammad Yasin (Labour)

In March 2018, the Payment Systems Regulator (PSR) established a steering group of financial institutions and consumer representatives to develop a voluntary code of good practice to help protect consumers against authorised push payment (APP) scams.

At the end of February 2019, the steering group published the Contingent Reimbursement Model Code for APP Scams (the Code), which sets out the agreed principles for greater protection of consumers and the circumstances in which they will be reimbursed, making a significant step in delivering improved protections for consumers. The Code became effective on 28 May 2019 and customers of those payment service providers that are signatories (which includes all of the 6 largest banks and building societies) are protected under the Code from this date.

The Lending Standards Board (LSB), which is responsible for the Code, has committed to a first annual review of its operation later this year. The Government looks forward to reviewing these findings when they become available.

Answered by:
John Glen (Conservative)
10 June 2020