The Payment Services and Payment Accounts (Contract Termination) (Amendment) Regulations 2025/688

The SI amends regulation 51 of the PSRs to enhance customer protections when payment service providers terminate contracts with payment service users. These enhancements apply to framework contracts for payment services concluded for an indefinite period and entered into on or after the SI comes into force (28 April 2026). They include extending the minimum notice period for contract terminations, mandating providers to provide sufficiently detailed and specific reasons for contract termination so payment service users can understand why the contract is being terminated, and informing payment service users of any right they may have to complain to FOS.  Certain exceptions are provided for.