Payment Systems Regulator launches first competition investigation

The Payment Systems Regulator (PSR) has launched its first competition investigation probe on the back of a “significant number” of dawn raids.

There is limited public information on the scope of the investigation, although the PSR’s head of legal has confirmed that the PSR worked in close cooperation with the CMA on the case.

The PSR is a concurrent regulator for the purposes of competition law investigations under the Competition Act 1998/ Articles 101/ 102 TFEU.

The identity of the defendants is unknown at this stage and this information is unlikely to be made publicly available until a statement of objections is issued.

It appears that the raids were conducted at multiple premises across the UK, suggesting that a focus of the investigation at this stage may be on anti-competitive agreements.

The initiation of the investigation and the use of an unannounced inspection visit is an important step for a newer competition regulator.   The PSR acquired competition powers in relation to participation in payment systems under the Enterprise Act 2002 in April 2014 and under the Competition Act 1998 in April 2015.