ECB joins Berlin Group as observer to shape open banking API standards

The European Central Bank’s decision to participate in the Berlin Group signals the central bank’s intent to influence the technical standards that will underpin PSD3’s open banking requirements.

The Berlin Group, which develops pan-European API specifications for open banking and open finance, has confirmed the ECB as an observer participant. The move comes at a moment when the finalised PSD3 and PSR texts impose more prescriptive requirements on API performance, uptime and data access, making the question of which standards banks implement operationally material rather than merely technical.

The ECB’s involvement adds institutional weight to the Berlin Group’s standard-setting work at a time when the euro area payments infrastructure is evolving rapidly. The central bank already oversees TARGET Instant Payment Settlement and has a direct interest in how third-party access interfaces interact with instant payment rails. Its presence as an observer, rather than a voting member, suggests an advisory and monitoring role rather than direct governance, but it nonetheless elevates the Berlin Group’s standing as the de facto European API standards body.

For banks and payment service providers preparing for PSD3 compliance, the ECB’s participation reinforces that API quality and interoperability will face scrutiny beyond national competent authorities.

Editorial note: Central bank involvement in technical standard-setting for open banking is new and significant, particularly given the prescriptive API requirements in the final PSD3/PSR texts.

Sources: ECB joins Berlin Group as observer for Open Banking standards — The Paypers

PSR fines Bank of Ireland UK £3.8m for Confirmation of Payee delay

The fine demonstrates that the Payment Systems Regulator is willing to impose meaningful penalties on firms that miss anti-fraud infrastructure deadlines.

The PSR has fined Bank of Ireland UK £3.78 million for failing to implement Confirmation of Payee (CoP) by the required deadline. CoP, which cross-checks payee names against account details before a payment is sent, is a core element of the UK’s Authorised Push Payment (APP) fraud prevention framework. The PSR mandated its adoption by directed payment service providers on a specific timeline, and Bank of Ireland UK missed it.

The penalty is modest in absolute terms but notable for what it signals. The PSR has faced criticism for being slow to use its enforcement powers. A seven-figure fine for an infrastructure implementation delay, rather than for a substantive consumer harm event, suggests the regulator is drawing a firmer line on compliance timelines. This matters as the UK prepares for further fraud prevention obligations, such as the mandatory reimbursement framework for APP fraud, where operational readiness will be non-negotiable.

Other UK payment service providers should take this as a clear indicator that grace periods for mandated anti-fraud measures are closing.

Editorial note: The fine is a useful signal of PSR enforcement posture, relevant to any UK-facing payments firm managing compliance deadlines.

Sources: Bank of Ireland UK fined £3.78m for CoP delay — Fintech Global