Banks: Internet Transfers of Cash

Baroness Altmann Excerpts

Thursday 9th July 2020 Lords Chamber

[Baroness Penn]

My Lords, the UK takes all fraud, including APP fraud, extremely seriously. In the UK, we have set up the contingent reimbursement model code for APP scams, which ensures that, where victims are of no blame, they are refunded the payments that they lost out on.

[Baroness Altmann (Con) [V]]

My Lords, I recognise that banks with automated checking systems will have been flagging up the new types of payments that they have never seen before as potentially suspicious, but has the department had conversations with the banks to focus on using new technology which can push the suspected transactions through faster for issues such as CBILS loans?

[Baroness Penn]

My Lords, in respect of CBILS loans and other payments, we are not aware of any delays in the payment systems causing problems for businesses. More broadly, we are looking at the rapid technology developments in this area and we are working with the Financial Policy Committee on a payment landscape review to look at the infrastructure and regulation, to ensure that this is keeping pace with the development of technology. We will be publishing a call for evidence on that matter shortly.