A new report from Vixio Regulatory Intelligence, Payments Compliance Outlook 2024: The Compliance Dilemma - Growth at What Cost?, reveals a renewed and sustained focus on growth from payments firms – and that two of the top three priorities for 2024 are to acquire new product licences and expand market entry.
Other key findings from the report include:
-
Credit cards are top on the list of payment instruments offering the greatest opportunity
-
Cryptocurrencies are also considered a major payment opportunity among firms
-
Having the right culture of compliance is not just a box-ticking exercise but a competitive advantage
Mike Woolfrey, Chief Executive Officer of Vixio, said: “The most successful payment firms realise that good compliance can be a competitive advantage, and our report further highlights the importance of regulatory awareness and planning when strategising for growth in 2024.”
The report gives payments organisations an informed view of the year ahead emphasising that compliance is not an optional extra. It was written to help them understand how to efficiently scale their compliance needs, reduce the regulatory burden and empower compliance teams to become enablers, rather than blockers, to business growth.
The full report was created using interviews with key Vixio clients including TrueLayer and Sidley Austin LLP, results from a survey it conducted of 250 payments professionals in five key jurisdictions, and expertise from the team of Vixio analysts. From these sources, a clear picture is painted of some of the most pressing challenges that stand in the way of firms finding the sweet spot between growth and compliance in 2024.
Readers of the abridged version will discover three of the key trends Vixio has tracked for next year, and what the implications are for businesses in the payments space, and businesses integrating payments into their overall client offering.
With an emerging pressure to increase risk appetite and fraud continuing to evolve, compliance teams and professionals need to keep ahead of the ever-evolving regulatory change now more than ever. Of the survey respondents, 85% claim they are under pressure from within their business to increase risk appetite to support growth, and fraud was a major concern, with increased fraud rates considered the greatest threat overall to their businesses.
The report can be downloaded here.
