Faster Payments clocks £1bn in a single day

The Faster Payments System transacted a record number of payments on Monday 2 March.

The Faster Payments System transacted a record number of payments on Monday 2 March.

The service transacted five million payments worth £1bn, compared to the previous record of four million payments worth £730m in a single day in December. More than four million payments were standing orders and about 750,000 were immediate payments made online or by phone.

In the month after the launch of Faster Payments four million transactions were made worth a total of £2.26bn.

The system has processed over 125 million payments to a total value of over £46bn since its launch in May last year. "Volumes are predicted to continue rising: it is forecast that Faster Payments will help to push volumes of interbank online, phone and standing order payments from the 2007 figure of 472 million to 622 million in 2017," said Apacs.

Faster Payments was the first new UK payment system in 20 years. It offers shorter times to clear payments than the three days needed for the Bacs payment system.

The technology behind Faster Payments is in two parts: a front office that links to banks to capture all payment details, and a back office that records, stores and settles payments.

The front office uses an application from eFunds, which Vocalink has customised. This sits on HP NonStop servers. There are two sets of servers, either of which can handle the complete load if required. These two stacks also communicate so they both know the status of the other.

Information sent to the front office from banks' systems is captured and sent to the back office. The back office system then calculates how much the banks owe each other. It runs three times a day and sends the information to the Bank of England.

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