The document discusses the implications of the Payment Services Directive (PSD) and Single Euro Payments Area (SEPA) for UK banks. It notes that while SEPA only applies to eurozone banks, both changes will significantly impact UK banks by opening up and consolidating Europe's payments market. The PSD will allow non-bank payment institutions to offer processing, increase competition. Banks must decide whether to invest in payments or outsource to remain competitive in the new landscape. The winners will be those who make the right strategic choices around commercial positioning, operations, and IT.

1. UK Banking
Point of view series
Issue 3: Autumn 2007
Making payments deliver
Strategies for high performance in a
commoditised payments market

2. Making payments deliver
Strategies for high performance in a commoditised payments market
The European Payment Services Directive (PSD) will be The changing landscape
of payments
transposed into UK law and come into force in the UK So far, the target date of November
by November 2009, opening the way for the creation of 2009 for the UK introduction of PSD
is not seen as a priority by many UK
the Single Euro Payments Area (SEPA). Of these two
banks, although the majority are now
closely-related developments, only the PSD will apply preparing for the start of SEPA in
directly to banks operating in the UK, since SEPA applies January 2008. However, the immediate
implications of the PSD for UK banks –
purely to the euro-zone. But both changes bring summarised in the accompanying
significant implications for UK banks, because between information panel on the following
them they will redraw the map of Europe's rapidly- page – are substantial, ranging from
the regulatory to the commercial to
commoditising – and increasingly consolidated – the cultural. And its wider market
payments environment. implications go much further and
deeper.
By boosting market transparency and opening up the In our view, any bank that views the
European payments processing market to non-bank PSD as a purely regulatory change,
and which takes a compliance-focused
entrants, the PSD will dramatically concentrate power approach to it as a result, is running
in the hands of providers with sufficient scale to serious strategic risks. Crucially, it may
provide efficient payments processing and value-add at well end up hampering its own ability
to compete in the newly-integrated
lowest cost. Banks face a critical strategic choice about European payments marketplace – as
where to reposition themselves in this new environment well as missing out on the substantial
– and specifically whether to invest in their payments opportunities opened up by the PSD,
and also by SEPA for euro-zone
capability and perhaps offer it externally, or get out of payments.
payments altogether and outsource it to a third-party. Why? Because PSD is regulation with a
Once they make this choice, there are further key difference. Its aim is not about control
(as with Sarbanes Oxley), financial
commercial, operational and IT decisions to be taken.
stability (Basel II), terrorism or crime
The winners will be those who make the right calls on (OFAC, FATF and the AML Directive).
each of these critical choices. Instead, PSD is about creating a level
playing-field characterised by open
competition and transparent pricing
for payments services across Europe.
Given this objective, the changes to
the way payments are regulated is
merely the start of the sweeping
change that will flow from the PSD.
1

3. Implications of the PSD PSD’s impact on competition
The advent of open competition in With SEPA, the zoo will break open its
What will the PSD mean for UK banks? PayPal: from zero to 35 million
payments will have several impacts. cages. The lions (large acquisition-
in Europe in seven years
The PSD puts into law many of the rules created by the European For example, corporates seeking hungry regional banks) will continue to
PayPal represents an impressive
Payments Council, a self-regulatory body set up by European banks improved visibility of their cashflows dominate wide areas. The elephants success story in alternative payment
will be able to turn to non-bank (major global banks) will lumber services. Founded in 1998, it has
to create SEPA. However, the PSD also includes some important Payments Institutions instead of their around wherever they please. The now reached revenues of over
additions, such as a requirement to complete credit transfers within banks for cash management services. undersized and vulnerable gazelles US$1.5 billion p.a., growing at over
Corporates may also consolidate all (savings banks, local banks and state 30% a year.
one day from November 2009, except where customers explicitly their euro payments and invoicing into banks), may seek safety in numbers, In Europe, PayPal has more than 35
agree to it taking up to three days (but only until 2012). The one pan-European centre or 'factory', but risk getting picked off by the million customer accounts, and
introduction of the PSD in the UK from November 2009 will have and reduce their numbers of banking predators. And the nimble monkeys processed total payment volume of
relationships and accounts as a result. (new entrants such as PayPal – see US$8.4 billion in 2006 alone. Of
three main impacts on UK banks. These are: information box, opposite) will keep those 35 million accounts, 15
The move towards payments factories
their distance while thriving in the million are in the UK _ equivalent
• Prohibition of value dating – Under the cost base than banks due to lighter processing, combined with greater
more open environment. to over a third of adults and half of
PSD, the practice of 'value dating' payments regulatory requirements. The effect will ease of payments across Europe, will all internet users.
to the detriment of account holders will be be to intensify competition by creating significantly change the pattern of The effect on the payments market will
outlawed. The intention is that the opportunities not just for established non- payments flows across Europe and be nothing short of revolutionary.
customer receiving the payment will have bank Payments Institutions such as PayPal, boost cross-border euro payments European Banks have long been able to
immediate use of – and interest on – the but for a vast array of other potential from their current low level. And at the regard their payments offering as an
money from the moment it is credited to entrants such as technology and telecoms consumer level there will be increased annuity protected by national borders.
the account. This provision will prevent the companies. cross-border payments by debit card, Under SEPA, the payments offering will
practice of giving value to customer especially for online transactions. be new, unprotected and no longer
• Increased European participation and
accounts later than when the bank receives While debit card usage across Europe is national. So banks will face a choice
engagement – While Ireland's presence in
their funds – a change which will result in high, many debit cards are not between getting out of payments as a
the eurozone means both the PSD and SEPA
banks losing a source of interest income, interoperable across borders in Europe. managed business; climbing higher
will apply directly to banks based there, UK
with the threat of criminal charges should Under the PSD, SEPA-compliant debit up the payments value chain; or
banks will also find themselves having to
they transgress. More positively, as the cards will overcome this hurdle. escalating their payments capabilities
think and act with a far more pan-European
permitted timeframe for credit transfers with enough commitment to compete
perspective than before. In a trend already Breaking open the 'Payments Zoo'
narrows to one day by 2012, UK banks' on a pan-European basis (see
anticipated by recent consolidation activity, The jungle, and its associated
move to near real-time Faster Payments will information panel on 'Do payments fit
UK banks will be operating in a wider and opportunities and dangers, are often
put them well beyond compliance. into banking – or outside it?)
more open market with a wider range of used as a metaphor for market
• Liability - the PSD prescribes liability customers across Europe. For example, competition. However, with the PSD a
requirements which mean UK banks will cross-border payments will continue to more appropriate analogy is a zoo; one
need to revisit their terms and conditions increase in importance – whether they be where the different types of bank –
with both consumers and corporates (where remittances home by Polish workers abroad, domestic, regional and global – are
individual, bilaterally agreed contracts will payments to pension payments to UK currently in separate cages within the
need to be checked and renegotiated retirees in southern Spain, to corporate zoo's grounds.
where necessary) transfers around Europe. National
• New non-bank payments institutions – governments may implement the PSD
The PSD also opens the way for non-banks with varying degrees of regulation – a
to provide payment services across Europe. lighter regulatory environment in the UK
So called 'Payments Institutions', subject to will give banks and non-bank Payments
minimum capital requirements, will be Institutions an advantage over their
allowed to process payment transactions European counterparts and an opportunity
from November 2009, and new entrants can to attract European business. There is
be expected to compete with banks and opportunity for UK and Irish banks to
existing institutions such as automated lobby their governments e.g. through the
clearing houses. These Payments Institutions UK Payments Council or the Irish National
are likely to be able to operate with a lower Payments Plan, to implement the PSD with
a light touch.
2 3

4. Payments Outsourcing European Consolidation
Do payments fit into banking – or outside it? Competitive Repositioning in Europe
In simple terms, banking is about borrowing short, lending long, M&A activity is strongly evident in Europe. The acquisition of ABN
and managing the risks involved in both. Managing payments Amro gives the Royal Bank of Scotland a significant transaction
transactions is a related but secondary activity that banks have banking capability and is a major milestone in its journey to
taken to be naturally theirs. By collecting fees for these transactions, becoming a global bank. Banks are transforming themselves as
banks have turned payments into a good revenue-earner in its own they reposition in the changing European and global banking and
right, typically accounting for between 25% and 50% of revenues. payments landscape. The process has started and will continue
However, post-PSD the opportunity to make cost and with greater capabilities, then it
over the next five years.
money from commodity payments transactions may make sense to outsource it to them. If a
This transformation is taking place not just in relative minnows with annual revenues of less
will shrink dramatically. So banks need to ask bank is sensitive about another bank seeing its
banks, but in processors as well. Interpay in the than US$200m in most cases, compared to – say
themselves whether they really need to 'own' transaction flows, it can choose a non-bank
Netherlands has merged with TAI in Germany to – commercial processors in the cards domain
payments to support customer accounts – Payment Institution instead.
form Equens, which has now acquired SECETI in such as First Data Corporation with global
especially given the growing availability of
There is a clear precedent for this shift. In Italy; Voca has merged with Link in the UK; and revenues of over US$7bn. Further consolidation
transaction banks and other third parties who
the US, the 1994 Riegle-Neal Act enabled US SIA and SSB have merged, also in Italy. These are among payments processors is inevitable.
can provide these services innovatively and
banks to expand across borders, triggering a some recent examples, and more consolidation is
at scale.
consolidation process that resulted in the handful sure to follow. In ACH processing, the key
Banks will still want to manage their interactions of US transaction banks (Bank of America, La European processors are Equens, VocaLink, Stet,
with account-holders. But if third-parties can Salle, JPMorgan Chase) we see today. SIA-SSB and EBA Step 2. However, these are still
provide payment processing invisibly, at lower
The new food chain This new food chain will have To thrive in the open zoo, the lions will
Banks will be making these critical As well as experiencing strong different impacts on each of the main need to win more corporate customers,
choices against a background of growth over the next few years, types of bank – local, regional and and to acquire other European banks
continuing strong growth in European Europe's payments industry will also global – requiring each to adopt to achieve scale. If they have no
payments. The ECB reckons there are see a transformation in its competitive different strategies. realistic chance of claiming a place as
around 360bn cash payments made in dynamics as a result of headlong a top-five/ten transaction bank, they
1. Local banks – the gazelles
Europe every year, and 70bn non-cash consolidation. We believe that possibly too should outsource their payments
Local banks have historically processed
payments (the majority electronic and within five years, and certainly within transaction processing.
large volumes of domestic payments,
card payments, but also including ten, there will be only five to ten major
giving them access to low-cost retail 3. Global Banks – the elephants
cheques). Non-cash payments are transaction banks offering payments
funds. These banks will face Historically, global banks have found it
growing at 7% a year, which means services in Europe, each claiming
diminishing transaction revenues from difficult to attract retail payments and
that these volumes will be 50% market share of 10% to 15%, plus a
existing national payments, coupled deposits in Europe, except in their
bigger in five years' time if the current similar number of non-bank Payments
with intensifying competition. To home countries. Under the PSD, they
growth rate is maintained. If growth Institutions providing elements of the
prosper in a post-PSD world, they need will continue to struggle in this regard
accelerates as a result of increasing use processing chain (see information
to consider M&A with other banks in unless they acquire local or regional
of contactless and other new payment panel on European consolidation). All
Europe, or to focus on their retail banks. However they are better placed
methods displacing cash, then non- the other banks – if they have not
customers and local corporates to for organic growth with corporates.
cash volumes could easily double by been consolidated – will outsource
avoid losing them to the expanding So these elephants should focus on
2012. However, it is worth noting that payments.
regional players – the lions. They poaching corporate business from sub-
if all payments volumes grow in line
should also consider outsourcing all scale banks, and/or acquiring other
with GDP, then non-cash volumes
payments processing to a transaction banks to penetrate retail markets.
need to grow at about 10% a year
bank and/or non-bank Payments Crucially, global banks' scale, reach and
before cash volumes actually start
Institution. capabilities make them well-positioned
declining. So cash is still very
to become the dominant transaction
important – and its usage is likely to 2. Regional banks – the lions
banks in Europe.
continue to grow in the near term. Despite strong domestic volumes, the
regional banks will still be sub-scale on
a European level, both in payments
4
volumes and corporate market share. 5

5. Winning payments strategies for the PSD world
As banks make their critical choice over which species National Champions - Global Champions - IT choices
'gazelles': Payments 'elephants': Payments Global banks should aim to have a
of bank they are, or which to turn into, they face one strategic choices strategic choices single platform covering multiple
key question: what will constitute a winning payments Commercial choices Commercial choices domestic, international, corporate and
retail payments, built on a SOA
strategy – and how can a payments business remain In the PSD zoo, gazelles are essentially These giants of the PSD zoo can
architecture to maximise re-use of
undersized and vulnerable. So they become the dominant transaction
profitable amid headlong commoditisation? should act as niche players, defining banks in European payments. But first system components common across
and selecting their target market they face critical choices around how different payment types. Common
While the parameters for this strategy will vary between the three categories
segments carefully – SMEs, savings to increase their market penetration, standards will increase efficiency and
of bank, there are some core groundrules that they will all need to apply.
offerings, public sector – and focusing scale and market share. support a single global view for
These can be divided into commercial, operational and IT principles, and are
on relationship management and managing liquidity and anti-money
outlined in the accompanying information panel. Beneath these overarching • In terms of market penetration,
customer service. This means retaining laundering obligations.
principles, each type of bank faces specific choices. medium-to-larger companies
front-office payments distribution,
sourcing and selling outside their Regional Consolidators -
viewing payments as a critical service
local markets are an attractive 'lions': Payments
Guiding Principles for all banks • Use partnering and/or outsourcing to rather than a core business, and
target segment for global banks. strategic choices
Commercial Principles achieve benefits in both costs and scale – deciding whether to act as a payments
They can also tempt corporate
consolidator or agency for local banks. The choices facing regional
• Know and meet customer needs - under owning production will be a differentiator customers away from national
consolidators lie between those of
PSD, banks will need to understand only for players with enough scale to be Operational choices banks lacking European-level scale,
the national and global champions.
customers' new and changing needs, and lowest-cost providers. Outsourcing some elements of and develop propositions for
They need to jump one way or another,
develop products which add value for them. • Rationalise external infrastructures/ payments processing – especially corporates' own pan-European
becoming either a niche player and
• Extend the value proposition 'up' the interfaces and correspondent bank transaction processing and the payments and invoicing 'factories'.
outsourcing their payments, or a
value chain – this means using their relationships – to reduce the complexity of payments back office – should be high • To build scale, global banks should regional transaction bank with beefed-
payments capability to add value for processing payments into and out of the on the PSD agenda for national consider acquiring other banks and up operational and IT capability. In
corporate customers, for example by bank, thereby improving customer service champions. Rather than worrying leveraging their operating model to parallel, the 'lions' need either to
providing new payment methods at and revenue opportunities, and reducing cost. about loss of control, they should create value. acquire other banks, or to build a
point of sale and helping them improve focus on the quality, pricing, and
IT principles • For growing market share, global defence strategy through extensive
their financial efficiency. flexibility of the third-party contract.
• Implement a 'one-of-everything' approach – transaction banks have an outsourcing and/or partnering with
Many national champions participate
• Retain and strengthen the customer to minimise the number of payments systems, opportunity to insource payments other banks to share infrastructure.
in their local clearing infrastructures,
relationship across the payments ecosystem based on buying capabilities rather than from national champions. It is
and as these consolidate they face a
through value-added services – perhaps building them. critical that the value proposition is
decision on which clearing
maximising convenience for consumers clearly defined – the challenges
• Develop a modular, service-oriented infrastructures to use.
through prepaid cards and real-time include working out how to provide
architecture(SOA) – re-using and optimising IT
information on their finances at the point IT choices a 1-to-many service with consistent
through a portfolio, enterprise-wide view
of payment. IT choices will be driven by the boundaries.
across all payments channels and services.
choice and scope of any outsourcing.
Operational Principles • Use real-time, rules-based, message-based Operational choice
However, a service oriented
• Separate production from distribution and and parameterised components – to maximise A critical choice for the global
architecture (SOA) will be important to
information management – reducing performance, throughput and scalability, and 'elephants' is to move to a global
allow 'plug and play' flexibility with
complexity and cost, and improving flexibility, achieve 'one-touch' straight-through- operating model as against a
third party outsourcers, and to avoid
by keeping transaction processing separate processing. regional/European one. This creates
getting locked in over time.
from marketing and sales. opportunities to share workload
• Maximise customer self-service capabilities –
• Implement a single, common, generic process globally between processing centres for
thereby driving cost reduction and market
for payments – supported by a standard daily load balancing, 24x7 customer
differentiation.
transaction data structure, to replace service and business continuity.
• Implement track-and-trace capabilities for Channels, products and product
fragmented vertical stove-pipes.
operational control – to reduce investigations, processing can all be standardised
• Create parameterised 'rules-based' customer- improve customer service, and enable features globally, while still enabling mass
centric service – to support customisation such as intra-day interest calculation. customisation to meet local and
and help meet regulatory requirements.
customer-specific needs. Other
operational choices include which
payments and electronic invoicing
infrastructures to use across Europe.
6 7

6. Customer Propositions and Market
Adoption under PSD
Without a winning strategy for PSD supported by the right choices,
banks ultimately face being forced involuntarily out of the payments
business by intensifying competition and commoditisation. However,
success will not only need the right strategy – but an ability to
underpin it with the right customer propositions, and to innovate to
generate new revenue streams.
Many other industries have thrived in Merchant enablement Many retailers across the world are Supply chain/e-invoicing Payments insourcing
'Faster Payments' may give UK
the face of headlong commoditisation. Merchant enablement allows dissatisfied with the cost of accepting Invoice processing and payments Payments insourcing from other
competitive edge
One is investment banking, where the merchants to sell more at lower cost. cards, and merchant-focused card across Europe remain complex, banks is a business opportunity for tier
In Europe's borderless payments
most significant revenues today come For many years, credit cards have done propositions such as Revolution in the market under the PSD, UK banks' expensive and lacking in standards. 1 banks and global transaction banks.
from recently-developed products such this by making it easier for consumers US and Payfair in Europe are starting decision to go for near real-time However, growing corporate usage of To enter this market, banks need an
as credit derivatives. Another is the to pay and providing a credit facility. to appear. These present a further faster payments from May 2008 electronic invoicing hubs such as Xign, efficient, industrialised internal
semiconductor industry, where, for Prepaid cards are also proving good at threat to bank revenues, but also serve may provide them with a Burns, and OB10 is now creating an payments operation that can then be
example, a leading chipmaker claims increasing impulse buys, with some to demonstrate the opportunity to competitive edge in the battle for electronic supply chain ecosystem, opened externally. Providers will also
almost 90% of the revenue it receives merchants citing sales increases of meet merchant demand through new payments transaction processing including e-invoicing hubs, corporate need to ensure both payments
in December is from products launched around 40%. merchant enablement propositions. business across Europe. Through the shared service centres for payments operations and IT can support multiple
since the previous January. EBA Step2 PrieEuro payments and invoicing, corporate-to-corporate banks on a re-usable basis without
Banks need to build on this experience Consumer fulfilment scheme, continental European banks electronic connectivity for invoice and customisation, and will need to allow
Routes to added value and take merchant enablement to the Ideally, consumer fulfilment will are currently aiming for a four-hour remittance information, and bank-to- for the costs of business acquisition
For banks involved in payments, these next level by innovating – something enable consumers to pay over multiple settlement cycle, which would not –
corporate electronic connectivity for and management.
examples point to one imperative: that new entrants such as PayPal are channels, wherever and whenever they for example – be able to support
consumer fulfilment enabling payments, cash management and so
adding value, by extending the already doing. This means embedding want. This means mobile payments – The business case for offering
payment to be conducted and on. E-invoicing offerings will exploit
proposition 'up' the value chain. For payments capability into merchant whose mass-adoption will finally be insourced payments services will
settled on the spot in a retail this emerging ecosystem via
example, two areas where banks can processes, and providing merchants driven by the combination of the depend on the provider's ability to
location or restaurant. Similarly, partnerships between banks, ERP
add value for their corporate with market and consumer intelligence mobile phone with Near Field provide core payment operations at
VocaLink, the UK payment vendors and corporates. As electronic
customers through payments are: to drive sales, across websites, vending Communication (NFC) technology for below market-level costs, and above
processing provider which will invoicing takes off, it will form the
machines, mobile devices and more. contactless payments. Real-time market-par customer products. The
• Marketing and Sales – where banks operate Faster Payments, has a anchor for supply chain propositions
payments will add even more value to customer will benefit by being able
can help corporates sell more and To succeed, merchant enablement strategy for entering the European giving corporates visibility of their
this combination, so UK banks' access market; it is expected to claim a to drop a non-core competence, cut
lower their cost of sales; programmes will need to: cashflows and providing finance.
to Faster Payments in near real-time position as one of the two or three costs and become more efficient
• Financial and Supply Chain • drive consumers to the merchant;
may well give them an edge against pan-European automated clearing and effective.
Operations – where banks can help • allow merchants to target their continental competitors (see houses (ACHs) that banks will hook
corporates improve their financial specific consumers with specific information panel). Consumers also up to in the PSD world, and with its
efficiency, and – where appropriate propositions using consumer want convenience in managing their Faster Payments capability, it will
– physical supply chain efficiency. intelligence; finances, by having access to real-time have a clear competitive advantage.
The customer propositions within a • make it faster and easier for information on their account balances
winning strategy can be categorised consumers to pay/buy anywhere, and outgoing commitments.
as follows: anytime;
To provide this convenience, retail
• Merchant enablement • capture consumer impulses, versions of the cash management
because consumers can commit and applications typically used by
• Consumer fulfilment
pay immediately; corporates will be offered to
• Supply chain/e-invoicing
• provide security and reduce risks for consumers through internet and
• Payments insourcing. both merchants and consumers. mobile banking. Consistency across
channels will be vital, with internet,
mobile, ATM, branch and call centre
having the same functions and
information.
8 9

7. A Transformation Roadmap
Overall, it is clear that in five years' time the European • The Business programme has Achieving payments transformation:
primarily a revenue agenda, and key success factors
payments industry and its customer propositions will focuses on customers, products, For many, re-positioning for the
be very different – and that developing and delivering pricing and revenue generation, new payments landscape will not be
possibly split between retail and easy. The change required is pervasive
these propositions will require serious investment in corporate. It should establish a – and the winners will need to be bold
innovation. To compete, banks will need to reposition middle office function and recruit and highly-committed. Crucially,
and transform their payments business, requiring key the new product development transformation on this scale requires
and management team that will partnerships, to gain access to
strategic decisions, such as whether to remain in the define customer propositions. specialist know-how, share risks and
payments business at all. This programme is the ultimate make it happen. It will be critical to
driver, owner and arbiter of the choose a partner who can assemble
business requirements needed by the right global capabilities to help
Our experience and research in One key question for many banks is the Operations and IT programmes. drive the transformation forward.
the payments industry has enabled how to decide what to outsource and At Accenture, we believe our
• The Operations programme
us to create a roadmap for the how to choose a supplier. The starting combination of Consulting,
focuses primarily on cost
transformation necessary to create a point is to identify the cost distribution Technology and Outsourcing services
optimisation and business
successful payments business under of payment services, and focus on complemented by deep expertise in
enablement. It should take any
the PSD. Neither 'big bang' nor high-cost, low value-adding tasks – the payments industry, makes us
outsourcing decisions early and
incremental change is likely to work. such as investigations – that a third- ideally positioned and qualified to
set about rationalising and
Instead, the expectation should be party might handle better and more be your partner of choice.
consolidating operations and
geared towards a heavy-duty change cheaply. The task then is to engage
interfaces to external
programme sustained over several with suitable third parties.
infrastructures.
years. We will now look at the key
External infrastructures
components of the roadmap. • The IT programme also has a cost
At root, payments is – and will
and business enablement focus.
Regulatory compliance remain – a network business. So
It is likely to have the longest
The current priority for many banks is external infrastructures are critical,
gestation and incur the highest
compliance – with PSD, SEPA, MiFID, especially correspondent banking
cost, but is dependent on the
and so on. However, this work should networks and ACHs. The major
other two programmes. This
be aligned to a long-term payments transaction banks need to drive the
programme starts by defining the
strategy. This alignment should include rationalisation of ACHs to reduce
overall (SOA) IT architecture, making
making changes once, while avoiding overcapacity and complexity. Non-
build-versus-buy decisions, and
throwaway solutions or solutions that transaction banks need to decide
selecting the most appropriate core
might hinder future actions, for whether to participate directly in an
payments platform. Renewal of the
example around outsourcing. ACH, or outsource to a transaction
systems infrastructure may have to
bank or specialist payments institution.
Strategy and operating models extend to core account
Each bank's strategy needs to be The transformation programme management systems.
based on a realistic view of the future The next step is to press ahead with
payments landscape, enabling it to planning and executing the payments
choose a position within that transformation. A proven approach is
landscape – as a national champion, to run three parallel programmes for
regional consolidator, or global all payments, covering the Business, IT
champion. Then several critical and Operations.
strategic choices – commercial,
operational and IT – need to be
made, and a target operating model
for the payments business defined
and created.
10 11

8. Contact details
Jeremy Light
Global Banking Industry Team –
Programme Director
Accenture Financial Services
Jeremy.light@accenture.com
+44 (0)20 7844 2917
Julian Skan
Head of Payments UK&I
Accenture Financial Services
Julian.skan@accenture.com
+44 (0)20 7844 5125
About the author
Jeremy Light is a member of our
Global Banking Industry Team. His
responsibilities include setting the
strategy for our payments work in
Europe for our practices in each
geography, and providing thought
leadership for them on payments in
Europe and on SEPA. He has over 20
years of consulting experience and has
worked with banks, card processors
and ACHs on payments strategies,
operating models, requirements
analysis and systems implementations.
He also led the work for and wrote our
recent European Payments Survey.
The Banking Point of Views Series
This is a series of articles aimed at
providing insight into topical issues
facing the UK banking industry. If you
would like to learn more about the
series and other articles issued, please
contact Geetika Rai.
Tel: +44 207 844 5982 or
geetika.rai@accenture.com
12

9. Copyright © 2007 Accenture About Accenture
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