European Commission Concludes That The SEPA Regulation Does Not Require Amending

On November 23, 2017, the European Commission published a Report to the European Parliament and the Council of the European Union on the application of the SEPA Regulation. The SEPA Regulation establishes technical and business requirements for credit transfers and direct debits in euro to allow electronic payments in euro without distinguishing between national and cross-border payments. The Commission is charged, under the SEPA Regulation, with reporting on the application of the Regulation and proposing legislative changes, if appropriate. The Commission has concluded that the SEPA Regulation is applied correctly across the EU and that a legislative proposal is unnecessary. The Report notes that identified issues, such as IBAN discrimination, have been addressed by Member States and their resolution will need to be closely monitored.