The Reserve Bank has released a report on the functionality of, and access to, the New Payments Platform. The report contains 13 recommendations for implementation by NPP Australia (NPPA) which arise from the public consultation that the Bank has undertaken with input and assistance from the Australian Competition and Consumer Commission (ACCC).

The report’s overall conclusion is that the NPP is enabling payments functionality that largely addresses the gaps identified in the Reserve Bank’s 2010–2012 Strategic Review of Innovation. However, it highlights that the slow and uneven roll-out of NPP services by the major banks has likely slowed the development of new functionality and contributed to stakeholder concerns about access to the NPP. Therefore, the report includes a number of recommendations aimed at promoting the timely roll-out of NPP services and development of new functionality.

During the consultation, stakeholders also identified a number of access issues that could present potential barriers to entry for new participants. The report notes that direct access to the NPP should be open to a range of payments services providers. As a result, it makes a number of recommendations for NPPA to take action in relation to its participation requirements, the required capital contribution for participation and the governance arrangements for assessing new participants.

The RBA will conduct another review before July 2021.