The Financial Conduct Authority (FCA) will undertake a two-day ‘policy sprint’ to explore key considerations for a regulatory framework for open finance.
According to the FCA, the event – which will take place across November 8-9 this year – will frame discussions around three problem statements all of which will inform its understanding of where the right balance is between regulation and industry-led initiatives.
The problem statements will cover the way open finance can be used to empower consumers as well as the approach to data sharing and the role of third parties such as FinTechs.
In addition, the statements will cover what standards, governance and interoperability are needed to develop an open finance ecosystem.
The FCA said the aim of the OpenFin PolicySprint is to inform the future design of an Open Finance regulatory framework that would benefit consumers and the market.
The PolicySprint will cover three key areas. These include features of a data sharing ecosystem that empowers consumers and companies, what common standards are needed to incentivise participation and minimise risks to consumers and other participants and how it is implemented and monitored.
For who should apply, the FCA recommended a mixture of industry experts and leaders as well as ‘broader stakeholders’ with an interest in open finance policy who can dedicate their time and attend in-person over the two-day event.
FCA executive director Sheldon Mills said, “Open finance has the potential to transform the way consumers and businesses use financial services. It could help widen access, support decision-making, facilitate comparison and switching and has the potential to improve competition among financial services providers.
“We are committed to being a driver in bringing that change and welcome the introduction of smart data legislation by the Department for Business, Energy & Industrial Strategy.”
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