UK government publishes draft legislation on buy-now-pay-later products

The UK government has published its proposed draft legislation on buy-now-pay-later, which would bring the payment products within the remit of Financial Conduct Authority (FCA) regulation. Under the proposed new rules, the FCA would be given the authority to regulate firms offering certain types of interest-free instalment credit to consumers, in order to prevent the risk of consumer harm from the unsecured credit market. This latest consultation closes on 11 April 2023.