In January 2022, we issued an updated approach for the delivery of the revised RTGS service. A brief summary on the impact of the revised timetable, by stakeholder, can be found on the 'Summary of changes to the Bank’s ISO 20022 migration announced January 2022' webpage.
This page and the ISO 20022 Technical Resources page provide an overview of our current and final approach to ISO 20022 migration.
The UK payments industry is moving to ISO 20022, the emerging global standard for payments messaging. This standard creates a common language for payments data across the globe.
This change includes our sterling high value payment system CHAPS, which will migrate to ISO 20022 messaging in April 2023.
Better data in payments promises to deliver significant long-term benefits for the economy. To adapt to the new messaging standard and accompanying data requirements, your organisation might have to make process and technology changes.
Find out about how we are collaborating with Pay.UK on ISO 20022 payment messages.
ISO 20022 can adapt more easily than current messaging standards. So it’s more responsive to changes in the economy, emerging technologies and innovation.
Over 70 countries have already adopted ISO 20022, so messages will be harmonised with payment systems around the world.
Richer data will make it easier for businesses to detect fraud and help target financial crime.
ISO 20022 will be used across many payment systems. This improves resilience by allowing re-routing of messages which reduces the impact of outages on users.
More data can be carried. It enables more detailed and better structured reference information.
More flexibility means more competition and innovation in the financial sector. Better data may lead to product innovation.
Less need for banks to make manual interventions. Potentially fewer delays for the end customer.
Enriched data will improve analytics. More efficient data collection may improve the decision making.
The RTGS Renewal Programme has continued to consult with CHAPS Direct Participants, the payments industry, other central banks and members of the payments industry on its plans for ISO 20022 migration.
In January 2022, we announced an update to the migration approach and timetable of CHAPS to the ISO 20022 messaging format.
The migration of the live CHAPS service to ISO 20022 will occur April 2023. At this point:
Please note - the ISO 20022 like-for-like phase, previously planned for June 2022, will now not go ahead. CHAPS Direct Participants will be required to continue to send MT messages, as they currently do today, until the Transition State 2.1 cut-over to enhanced ISO messaging in April 2023.
Participants should therefore only use documentation and guidance associated with the enhanced messaging schemas going forwards, not like-for-like schemas. We will discuss with CHAPS Direct Participants changes to the technical guidance documentation supporting the Memorandum of Understanding in respect of truncation risk. We will update the guidance to reflect that between November 2022 and April 2023 participants may be required to compress the key fields from enhanced ISO messages receives via cross-border / correspondent banking into MT messages for transmission via CHAPS.
See our technical resources page for further details on Truncation Risk and non-payment message migration.
The Bank of England and Pay.UK have established a Standards Advisory Panel to provide industry advice on the adoption of new payments standards in the UK. Please see our Industry Engagement page for further details and past minutes.
For enquires of a technical nature, please see our Technical Resources or contact rtgsreadiness@bankofengland.co.uk.
For all general enquiries, speaker engagements and communication please contact rtgsengagement@bankofengland.co.uk.
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