Regulation on cross border payments

In December 2001, the European Parliament and the Council of Ministers adopted the Regulation on cross-border payments in Euro (Regulation 2560/2001). It came into force on the 31 December 2001. The main objective of the Regulation is to prohibit institutions from charging more for certain cross-border payments in Euro than for corresponding payments in Euro transacted within the Member State. Further, it requires institutions to be transparent with their charges for such payments and to disseminate International Bank Account Numbers and Bank Identifier Codes in order to facilitate cross-border credit transfers.

Following a Commission review on the application of the Regulation, in October 2008, the Commission published a proposal to repeal the existing Regulation and to replace it with a revised regulation with the aim of modernising the scope and application of the legislation.

Documents and publications

In September 2002, the Treasury consulted on proposed sanctions for the breach of the Regulation in the United Kingdom, as required by Article 7.

Proposed Sanctions for breach of the Regulation on Cross-Border payments in Euro: Consultation

Following the Commission’s proposal to modernise the Regulation, on 20 January 2009, the Treasury launched a consultation on the application of certain aspects of the new regulation to domestic law.