HM Treasury has designated Cheque and Credit as a regulated payment system for the purposes of Part 5 of the Financial Services (Banking Reform) Act 2013.  This means that the Cheque, Credit and Image Clearing systems, managed by the C&CCC are regulated by the Payment Systems Regulator (PSR). 

The Bank of England recognises the Cheque Clearing System, the Credit Clearing System and the Image Clearing System as designated systems under the Financial Markets and Insolvency (Settlement Finality) Regulations 1999 (Settlement Finality Regulations).

The Settlement Finality Regulations allow payment and settlement systems to apply for certain protections against the operation of normal insolvency law insofar as it applies to payment messages entered into the system. The practical effect is that the Settlement Finality Regulations protect the finality and irrevocability of the cheque clearing and credit clearing payment messages in the event of insolvency of a system member. They also help to ensure the enforceability of collateral security provided by the members of the systems. 

The C&CCC continually monitors the regulatory landscape to ensure that its own legal and regulatory framework evolves accordingly. The C&CCC also responds to consultation papers issued by regulators and government agencies. A selection of these responses can be found in our Consultation Responses section. 

The C&CCC holds its own consultations to explore issues facing the cheque and credit clearing landscape. More information can be found here.