UK Statutory Instrument
2011
United Kingdom
Electronic Money Regulations 2011
At a glance
Enforced by
What's here
29 compliance obligations, 3 practical guides across 2 topics
Penalty landscape
3 of 29 obligations carry an unlimited fine. 2 carry different penalties and 24 have no criminal penalty — flagged in the list below.
Who this Act binds
Business-side actors with duties under this Act, ranked by how often they appear.
- Any Person 9
- Director or Officer 7
- Applicant 3
- Trader 2
Plus 8 non-business duties on Crown ministers, regulators, local authorities or tribunals — shown collapsed under each section below.
Relevant guidance
Practical guides for businesses affected by this Act, ordered by how closely they engage with it.
Supporting — topic alignment
2 guidesMentioned in related content
1 guidesOther Acts binding the same actors
For each actor bound by this Act, the other UK Acts that bind them most often. Useful for understanding the full compliance landscape facing each role.
Any Person also bound by 749 other Acts (top 5 shown)
- Human Medicines Regulations 2012 2012 110 duties
- Licensing Act 2003 2003 105 duties
- Merchant Shipping Act 1995 1995 97 duties
- Road Traffic Act 1988 1988 95 duties
- Air Navigation Order 2016 2016 86 duties
Directors and Officers also bound by 224 other Acts (top 5 shown)
- Insolvency (England and Wales) Rules 2016 2016 75 duties
- Companies Act 2006 2006 63 duties
- Insolvency Act 1986 1986 46 duties
- CCBSA 2014 2014 22 duties
- CAICEA 2004 2004 18 duties
Applicants also bound by 146 other Acts (top 5 shown)
- Insolvency (England and Wales) Rules 2016 2016 22 duties
- Value Added Tax Regulations 1995 1995 20 duties
- Human Medicines Regulations 2012 2012 20 duties
- Space Industry Regulations 2021 2021 12 duties
- Infrastructure Planning (Environmental Impact Assessment) Regulations 2017 2017 10 duties
Traders also bound by 219 other Acts (top 5 shown)
- Value Added Tax Regulations 1995 1995 952 duties
- TULRCA 1992 1992 39 duties
- Companies Act 2006 2006 39 duties
- Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 2013 39 duties
- The Customs (Import Duty) (EU Exit) Regulations 2018 2018 33 duties
What this Act requires
Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.
Part 1 — INTRODUCTORY PROVISIONS
Browse 4 other sections in this Part — procedural / definitional / commencement
Citation and commencement
Electronic money: exclusions
Notification of use of electronic communications exclusion
Notification of use of limited network exclusion
Part 2 — REGISTRATION
Conditions for authorisation
- Meet strict conditions to be authorised as an e-money institution Applicant
Variation of authorisation on Authority's own initiative
Other duties (1) — Crown / regulator
- FCA may change your e-money authorisation on its own initiative Statutory regulator
Conditions for registration
- Meet eligibility criteria to register as a small e-money institution Applicant
Application for authorisation if requirements cease to be met
- Apply for full authorisation if registration requirements are no longer met Director or Officer
Duty to notify changes
- Notify the FCA of changes to your e-money application Applicant
Browse 9 other sections in this Part — procedural / definitional / commencement
Application to become an authorised electronic money institution or variation of an existing authorisation
Imposition of requirements
Variation etc at request of an authorised electronic money institution
Determination of application for authorisation or variation of authorisation
Cancellation of authorisation
Application for registration as a small electronic money institution or variation of an existing registration
Average outstanding electronic money
Supplementary provisions
Electronic money institutions acting without permission
Part 3 — PRUDENTIAL SUPERVISION ...
Capital requirements
- Maintain minimum capital for electronic money institutions Director or Officer
Safeguarding requirements
- Safeguard funds received in exchange for electronic money Director or Officer
Safeguarding option 2
- Safeguard customer funds using an insurance policy or guarantee Trader
Accounting and statutory audit
- Provide separate accounting information and auditor reports to the FCA Director or Officer
Outsourcing
Unlimited fine- Notify the FCA of outsourcing and meet safety conditions Director or Officer
Record keeping
- Keep records of regulatory compliance for five years Any Person
Browse 9 other sections in this Part — procedural / definitional / commencement
Safeguarding option 1
Power of the Authority to exclude assets
Insolvency events (except electronic money institution special administration)
Notice of intention
Decision following notice of intention
Supervision of firms exercising passport rights
Carrying on of Consumer Credit Act business by an EEA authorised electronic money institution
Insolvency Regulations
Notice of intention from an EEA authorised payment institution
Part 4 — ADDITIONAL ACTIVITIES AND USE OF DISTRIBUTORS AND AGENTS
Requirement for agents to be registered
- Register agents before providing payment services Any Person
Duty to notify change in circumstance
- Notify the FCA of changes to your EMI status or safeguarding measures Director or Officer
Record keeping
- Keep records of electronic money compliance for five years Any Person
Browse 4 other sections in this Part — procedural / definitional / commencement
Additional activities
Use of distributors and agents
Removal of agents from the register
Reliance
Part 5 — ISSUANCE AND REDEEMABILITY OF ELECTRONIC MONEY
Issuance and redeemability
- Issue and redeem electronic money at par value without delay Trader
Conditions of redemption
- State redemption conditions and fees in your e-money contracts Any Person
Prohibition of interest
- Do not pay interest or time-based benefits on electronic money Any Person
Browse 6 other sections in this Part — procedural / definitional / commencement
Application of Part 5
Fees for redemption
Amount of redemption
Requests for redemption
Redemption rights of persons other than consumers
Termination of a contract
Part 6 — THE AUTHORITY
Functions of the Authority
Other duties (1) — Crown / regulator
- FCA must follow regulatory principles when managing e-money issuance Statutory regulator
Proposal to take disciplinary measures
Other duties (1) — Crown / regulator
- FCA must issue warning and decision notices before taking disciplinary action Statutory regulator
Injunctions
Other duties (1) — Crown / regulator
- FCA may apply for court injunctions or asset freezes against you Statutory regulator
Proposal to require restitution
Other duties (1) — Crown / regulator
- FCA must issue warning and decision notices for restitution Statutory regulator
Restitution orders
Other duties (1) — Crown / regulator
- Courts may order electronic money issuers to pay restitution for breaches Tribunal / Court
Complaints
Other duties (1) — Crown / regulator
- FCA must provide a complaints process for e-money holders Statutory regulator
Browse 11 other sections in this Part — procedural / definitional / commencement
Monitoring and enforcement
Reporting requirements
Public censure
Financial penalties
Suspending authorisation etc
Power of Authority to require restitution
Costs of supervision
Guidance
Authority's exemption from liability in damages
Application and modification of primary and secondary legislation
Credit agreements
Part 7 — GENERAL
Prohibition on issuing electronic money by persons other than electronic money issuers
2 years imprisonment- Issue electronic money without authorisation Any Person
False claims to be an electronic money issuer
Unlimited fine- Claim to be an electronic money issuer when not authorised Any Person
Misleading the authority
Unlimited fine- Provide false or misleading information to the FCA Any Person
Liability of officers of bodies corporate etc
- Be held personally liable for electronic money offences Director or Officer
Duty to co-operate and exchange information
Other duties (1) — Crown / regulator
- FCA and HMRC must cooperate and share information on e-money issuers Statutory regulator
Right to bring actions
- Private persons may sue for losses caused by regulatory breaches Any Person
Browse 13 other sections in this Part — procedural / definitional / commencement
Defences
Restriction on penalties
Prosecution
Proceedings against unincorporated bodies
Prohibition on contracting-out
Persons with a Part 4 permission
EEA firms
Certified persons
Existing fixed term contracts
Amendments to the banking consolidation directive
Amendments to primary and secondary legislation
Application to Gibraltar
Transitional arrangements for existing electronic money institutions on the implementation of the second payment services directive
Schedules
Browse 4 other Schedules — structural / supplementary
Capital Requirements
Amendments to primary and secondary legislation
Credit agreements
Application and modification of the Banking Act 2009
Official guidance
Authoritative sources published by regulators or government explaining this legislation.
- FCA — Payment services and electronic money (opens in a new tab) from FCA Detailed Guidance
- FCA Connect (application portal) (opens in a new tab) from FCA Detailed Guidance
Enforcement and responsible bodies
The regulators that administer or enforce this legislation.
Financial Conduct Authority
Regulation of financial services firms and markets. Supervises banks, insurers, investment firms, payment services, and cryptoasset businesses. Issues authorisations and enforces conduct …
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Browse legislation
Find other UK business legislation with related guidance.
Regulators
Learn more about the bodies that enforce this legislation.