Jan:Feb 2017 Credit Management magazine

PSR TAKES STEP TOWARDS
WHOLESALE CHANGE
THE Payment Systems Regulator (PSR)
has proposed changes to the way payment
systems infrastructure is procured and
provided, the latest step in a series of
developments that is bringing wholesale
change to UK payments.
In early 2016, the PSR unveiled the
conclusions of its market review into the
ownership and competitiveness of the
infrastructure that supports three payment
systems – Bacs, Faster Payments Service
(FPS) and LINK. It found that there is no
effective competition for the provision of
central infrastructure for these three payment
systems.
The PSR identified the common ownership
and control of both the payment systems
and the infrastructure provider as a key
concern. It also cited the need to adopt a
common international messaging standard
to encourage new entrants, and create
a competitive procurement process that
addresses consumer needs.
Following these findings, the PSR
published its infrastructure market review
remedies consultation in which it has
proposed two measures: mandating a
competitive procurement process that will
enable new infrastructure providers with
different technology to enter the market
and drive new and innovative products
and services; and adopting a common
international messaging standard for Bacs
and FPS to lower barriers and encourage
new entrants to the market.
This package of measures will benefit all
users of payment systems, from payment
service providers to consumers, by creating
a better choice of tailored payment services.
As part of the publication, the PSR also
announced that it will not, at this stage,
be imposing the divestment remedy on
VocaLink, the UK payments infrastructure
provider. The PSR considers that the
proposed acquisition of the company by
MasterCard would address the ownership
related competition problems it had identified
in its final infrastructure market review.
The MasterCard transaction is subject
to merger approval by the Competition
and Markets Authority. In the event that
the proposed MasterCard acquisition
of VocaLink does not receive regulatory
approval, the PSR will pursue the divestment
remedy.
psr.org.uk
CICM URGES FIRMS TO JOIN THE
APPRENTICESHIP REVOLUTION
WITH the Apprenticeship Levy set to go ahead
in April 2017, the CICM is urging employers to
get on board with employing apprentices and
continuing their team’s professional training to
further raise the profile of credit management
as a career.
By becoming fully involved with
apprenticeships, those employers liable to
pay the Levy, which is made up of an annual
0.5 percent charge on payrolls exceeding
£3 million, can draw down 100 percent of
costs, while non-levied businesses can make
significant long-term savings.
The creation of an environment where
the expectation that those working in credit
management and collections are qualified
would further enhance the image and
influence of the profession.
Debbie Tuckwood, the CICM’s Director
of Education and Professional Development,
says that under the new Trailblazer
Apprenticeships, developed by employer
groups with support from the CICM and
CSA, there are no age limits to accessing
funding: “From May 2017 the Government
is fully funding individuals on the same or
lower level apprenticeships if the programme
provides substantially new skills.
“This means that even university
graduates would gain funding for the Level 3
Advanced Credit Controller Apprenticeship,
providing a funded fast track pathway to
higher-level professional qualifications and
Graduate Membership.”
The Government’s changes to
apprenticeships are an attempt to kick-start
a ‘skills revolution’, and the intention is for
over three million apprentices to have been
created by 2020.
“Further than this, and while favourable
funding is in place, credit managers have
the ability to qualify entire teams as well as
recruit new and young talent in the form
of apprentices. This does not require any
changes to existing terms and conditions of
employmen,” Debbie adds. “A community
of highly trained and qualified professionals
is sure to establish credit management
and collections as the essential heart of a
business.”
NEWS IN BRIEF
MOVING HOUSE
BIBBY Financial Services (BFS) has moved
its global headquarters to accommodate the
business’s strategic growth plan over the
coming years. BFS has relocated its central
support teams to Pembroke House, Banbury
Business Park – an office previously occupied
by Vodafone. BFS claims to be the largest
independent invoice finance provider in the
UK and provides funding and foreign exchange
services for businesses across the world. It has
1,200 employees worldwide in more than 40
offices in Europe, North America and Asia.
bibbyfinancialservices.com
INSURANCE OFFER
PLATFORM Black has introduced credit
insurance on its supply chain finance solutions
to bolster its offering to funders and SMEs.
The initiative has been developed in response
to feedback from the funding community
that wishes to deploy funds, but with the
return of those funds becoming an increasing
consideration. Platform Black has also
introduced Fixed Pricing which means funders
will be able to offer finance with full knowledge
upfront of the return they will achieve.
platformblack.com
COOPERATION AGREEMENT
THE FCA and the Hong Kong Monetary
Authority (HKMA) have entered into a Cooperation
Agreement to foster collaboration
between the two regulatory authorities in
promoting financial innovation. The two
bodies will closely collaborate on a number of
initiatives such as referrals of innovative firms,
joint innovation projects, information exchange
and experience sharing, to facilitate financial
innovation in the UK and Hong Kong.
fca.org.uk hkma.gov.hk
WORTHY OF MERIT
NOMINATIONS for the Meritorious Service
Award are now open. The Award is granted as
a rare recognition of an especially meritorious
contribution to the Chartered Institute. If you
would like to nominate a member, visit
cicm.com/cicm-meritorious-award/
FINAL CALL
OVER 100 entries were received from more
than 70 companies for the 2017 CICM
British Credit Awards. The shortlist has been
announced and the last few seats are filling up
fast for the dinner on 7 February at Lancaster
London. To book one of the last remaining
places contact Natasha Witter at Incisive Media
at Natasha.Witter@incisivemedia.com or 0207
316 9176.
cicmbritishcreditawards.com
PHOTO CAPTION WINNER
THE winner of Credit Management December
issue’s photo caption competition is Louise
Burton, Credit Control Supervisor at ASSA
ABLOY UK, with the following: ‘I will do
anything to get a higher credit rating’.
Congratulations to Louise; £50 worth of Amazon
vouchers are in the post.
The recognised standard
www.cicm.com January / February 2017 7