The UK Payment Systems Regulator (PSR) announced on 14 October that the New Payments Architecture (NPA) programme has been renamed Interbank Infrastructure Renewal (IIR), following the cancellation of the NPA procurement. This decision is in line with the National Payments Vision, which promotes a more agile and flexible approach to upgrading the UK’s payments infrastructure. The PSR will now shift its focus to overseeing Pay.UK’s existing Bacs and Faster Payments systems, ensuring their continued robust operation while preparing for an efficient transition to next-generation technology. The aim is to uphold the UK’s position as a leader in fast bank transfers, as well as to encourage greater competition and innovation in the market.
Background and Regulatory Context
- The Payments Strategy Forum was established in 2015 to support collaborative industry innovation.
- Pay.UK took over operational responsibilities for clearing services in October 2018.
- Specific Directions 2 and 2a, regulatory requirements set by the PSR, were revoked in August 2025 after industry consultation. Similarly, Directions 3 and 3a were revoked in May 2024.
- A separate consultation on changes to Specific Direction 3 was held in December 2024, reflecting the evolving regulatory framework for payment system operators.
The rebranding to IIR signifies a revised strategy, with PSR and Pay.UK prioritising the reliability of current systems and the foundation for future upgrades. According to the PSR, this approach aims to deliver stability and drive improvements for both users and service providers (source).
| Key Changes | Timeline/Detail | Outcome |
|---|---|---|
| NPA renamed to IIR | October 2025 | Focus on agile and robust renewal |
| Revocation of Directions 2/2a, 3/3a | May–August 2024/2025 | Reflects regulatory adjustment |
| Consultation on SD3 updates | December 2024 | Input on operational regulation |
This updated direction is designed to help maintain the UK’s leading role in instant payments and support further innovation across online gambling and other sectors reliant on smooth, secure payments. For more details on payment developments and the latest regulatory updates, see related resources:
