The Electronic Money Regulations 2011 come into force on 9 February 2011. Under these regulations small electronic money (e-money) issuers currently registered with HM Revenue & Customs (HMRC) under the Money Laundering Regulations 2007 will now be supervised by the Financial Services Authority (FSA).
E-money issuers are businesses which offer money stored on cards which can be used to pay for goods and services, for example, gift cards. A small e-money business is one that has total liabilities relating to e-money of less than €5 million in any six month period.
If you are a small e-money issuer currently registered with HMRC you have until 30 April 2012 to apply for registration (or authorisation) by the FSA. Businesses that do not apply will no longer be able to operate.
HMRC are working with FSA to make appropriate transition arrangements for small e-money issuers from the HMRC to the FSA register. If you are considering entering the e-money industry please contact the FSA through their enquiries email address electronicmoney@fsa.gov.uk.
Read the Electronic Money Regulations 2011 (Opens new window)
