Preparing for PSD3/PSR: the changes that matter

The European payments landscape is set for a significant update. With the proposals for a third Payment Services Directive (PSD3) and a new Payment Services Regulation (PSR), the European Commission aims to modernise the rules first established under PSD2.

The Commission itself describes the proposals as an evolution of the existing framework rather than a revolution. Yet you should not mistake this for limited impact. The proposed changes are expected to require substantial implementation efforts. They affect Compliance, Risk, Technology and Operations functions, with challenges spanning governance, customer journeys, fraud prevention, operational processes and technology. 

The changes are coming, but they will not happen overnight. The legislative process is nearing its conclusion, though the final steps are taking longer than expected.

Both the Council and the European Parliament have adopted the texts at "technical level". What remains is formal adoption. Publication in the Official Journal of the EU was originally expected before summer 2026, but has been delayed; it is now anticipated around September/October 2026. Importantly, the substance of the agreed texts is not expected to change materially.

Once the final texts are published and enter into force — on the twentieth day after publication — the countdown begins. The PSD3/PSR package will generally apply 21 months after entry into force, meaning in 2028. For a few specific articles, notably those on liability for the IBAN/name matching verification service, a longer 27-month implementation period applies, meaning early 2029. 

While 2028 may feel distant, the governance, technology and process changes involved take time to design, test and embed. Organisations that begin scoping their gaps early will face far less pressure as the deadlines approach.