An end date for SEPA?

A successful SEPA implementation is seen by many as the key to more efficient European retail payment systems. SEPA credit transfers and payment cards have been available since January 2008, and SEPA direct debits since November 2009.

However, migration to the new payment instruments continues to be slower than is actually needed to contain the costs to payment-service providers, realize the promised economies of scale and reap all the expected benefits.

Setting a clear deadline for the migration of legacy products to SEPA products would enable users and providers to draw up suitable plans and would put new life into the project.

The European Commission has conducted a public consultation on the possible end-date(s) for phasing out legacy domestic payment schemes corresponding to SEPA standards. The findings have confirmed that the various stakeholders would prefer to see the end-date (and possibly two separate end-dates for SEPA credit transfers and SEPA direct debits) established by means of an EU Regulation.

In June 2010 the Commission launched a new public consultation on the "Working paper on SEPA migration end-date" outlining the main features of such Regulation. This document and the answers received will form the basis of the EU Regulation on the end-date(s).

The documents are available from the following European Commission website HERE.