UCD can be thought of as a new kind of ‘payment system’, in which an individual gets to control – from a single point of their choice – the flow of many kinds of trustworthy personal data, not just money but also proof of qualifications, official identity, student status, preferences, loyalty identifiers, authorizations, and many more.
Given this ambition, we expect that – in time – retail banks will become PDS providers, building the necessary functionality into their web-banking apps. The step can be seen as a continuation of the Open Banking (OB) reforms, providing advanced functionality and a business imperative (i.e. to continue to win custom from individuals as technology advances) whereas OB was merely a reluctant collective response to a directive from the Competition and Markets Authority (CMA).
The CMA, the Payment Systems Regulator, and the Financial Conduct Authority have now formed a Joint Regulatory Oversight Committee to study next steps for Open Banking reform, UCDx’s submission to JROC’s Strategic Working Group, as submitted in November 22, can be downloaded from the docs page.