Member

Moving on to Amendments 58 and 125, tabled by the noble Lord, Lord Holmes, the Government agree that it is important that sufficient fraud prevention and protection measures are in place. However, we do not believe that these amendments are necessary. In recent years, we have seen welcome advances in firms’ systems and controls to detect and prevent fraud, including the use of advanced technology such as AI. Payment firms have also implemented “confirmation of payee”, the name-checking system which matches account information to the name of the account holder. This applies to nearly all payments made over the Faster Payment System and CHAPS. Further, Pay.UK, the operator of the Faster Payment System, has been working on enhanced data exchange, which involves the exchange of specified data points between payment service providers before a payment transaction is made, providing more available data in the payment journey.