The Payment Services Regulations 2017 establish a regulatory framework for payment service providers in the UK, fully transposing EU Directive 2015/2366/EU, commonly known as PSD2. These regulations mandate authorisation or registration for entities providing payment services, defining the categories of payment services and outlining conditions for firms, including safeguarding customer funds and compliance with operational standards.

Additionally, the Regulations empower the Financial Conduct Authority (FCA) and the Payment Systems Regulator to enforce compliance and monitor activities. Importantly, transitional provisions allow existing service providers under the previous 2009 Regulations to continue operating until mid-2018, ensuring a smooth transition to the new regime while maintaining consumer protection and market integrity.