New European Fintech Regulations Affecting ICT Providers

Both the EU and the UK are taking steps to enhance the rules in the financial services sector to add a new layer of direct regulation for key technology providers to banks and other regulated financial services institutions – especially in relation to operational resilience.

The financial services (FS) sector relies extensively and increasingly on information and communications technology (ICT), including hardware, software, cloud hosting, digital operations, AI, chatbots, blockchain, and outsourcing. This reliance has been further accelerated in response to the COVID-19 pandemic and remote working, and continues to grow as banks and other FS institutions continue to be willing adopters of new technology platforms.