UK’s Pensions and Welfare Department Eyes DLT for Speedier Payments

To continue to keep up with the altering facial area of payments, the U.K.’s pensions and welfare division of government, the Department for Perform and Pensions (DWP), says it is investigating distributed ledger know-how.

In a website put up published late final 7 days, Richard Laycock deputy director at the DWP’s Electronic Delivery Shared Platforms, said that enhancements are planned throughout the DWP payments programs to be certain its 20 million shoppers “receive their payments on time.”

“As we go our Payment Products and services forward they need to have to be successful, fashionable, quick, scalable, adaptable, impressive and accessible 24/7,” Laycock wrote.

For the updated technique, the DWP is investigating numerous tech developments, including the developing adoption of distributed ledger know-how (DLT).

“We are starting off to see the very first full generation [DLT] implementations, these types of as Santander’s 1 Fork out Fx. The positive aspects incorporate reducing time, value and failure price linked with producing transactions while information is stored on a secure immutable ledger,” according to Laycock.

The office is also to revamp its payments architecture – to introduce “the biggest established of changes to the way United kingdom payment techniques approach payments in several years.” With a rollout planned to start  in 2021, the DWP will introduce a typical payment concept conventional and consolidate present techniques. New “overlay” companies will also be extra, including “request to pay” and “confirmation of payee.”

Open banking – the use of open up APIs to permit 3rd-bash builders to build applications and companies all around a banking establishment – also gives a way to strengthen aspects of the DWP’s payment companies.

Laycock said:

“I’m eager for us to take into account how we can harness the payment innovations coming out of these developments and how we can influence the New Payment Architecture to help condition potential of payments throughout government.”

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