PAYMENTS

integration and support scalability across the ecosystem,” he explains.

Application programming interfaces( APIs) enable different software systems to communicate effectively. Standardised APIs would allow merchants and service providers to integrate A2A payments more easily across multiple providers, reducing complexity and costs.

However, Mark emphasises that preserving space for innovation remains equally important.“ Innovation drives differentiation among providers, stimulates economic growth and advances the UK fintech market,” he says. The solution lies in combining clear frameworks with flexibility for innovation.“ By combining clear frameworks with flexibility for innovation, the industry can

Real-time settlement through Pay. UK’ s Faster Payment System enables same-day reinvestment accelerate adoption and unlock broader benefits for consumers, businesses and the wider economy,” Mark explains.

Real-time settlement advantages Real-time settlement and instant payments serve as key differentiators for A2A solutions, offering tangible benefits that traditional payment methods cannot match. These capabilities provide compelling advantages for both merchants and consumers.

Small businesses particularly benefit from near-real-time settlement through systems like Pay. UK’ s Faster Payment System. Pay. UK operates the UK’ s payment infrastructure, including the Faster Payments Service that enables transactions to clear within seconds rather than days.

“ Instead of waiting days for payments to clear they can reinvest in their business the same day,” Mark explains.“ This financial certainty supports smoother business operations and reduces manual reconciliation efforts.” For consumers, instant settlement enables immediate access to services

fintechmagazine. com 49