The UK's Faster Payments service has had a successful start among the founding clearing banks since its launch last May but adoption of the system by other financial institutions has been disappointing, according to a survey from MPI Europe.
A phased roll out of the system, which is designed to provide customers with near real-time transfer of phone, Internet and standing order payment instructions, began in May after a six month delay.
The survey reveals that since launch the 13 main clearing banks - including Barclays, Citi, HSBC, Lloyds TSB, RBS and A&L - have achieved their targets in terms of a base implementation of the system, with large volumes of payments being processed and successfully flowing through the central infrastructure provided by Vocalink.
Payments association Apacs has claimed the service is a huge success, processing over 63 million payments, to a value of over £26 billion, during the first six months of operation. By December around two-thirds of phone and Internet payments were being processed through the service, although still less than half of all standing orders.
But the MPI survey suggests take-up among non-clearing banks is less impressive, with 35% of those questioned still unable to receive Faster Payments, hampering wider adoption.
In addition, MPI says the very speed of the Faster Payments process is posing serious security and fraud questions which need to be addressed.
"Some banks have had to put in place temporary measures to address these issues. Addressing them on a more universal and permanent basis is one of the main tasks in this area for 2009," says John Cant, managing director, MPI Europe."