US EditionBuy Now, Pay Later: Stricter Checks Will Block some Shoppers
UNITED KINGDOM, JUL 17 – New rules will require affordability checks and clearer terms to protect millions of UK BNPL users from rising debt and financial difficulty, FCA estimates 11 million used BNPL last year.
- The Financial Conduct Authority announced new rules requiring stricter affordability checks for the £13 billion buy now, pay later market, effective July 15, 2026, in the UK.
- The shift follows BNPL's rapid growth from £60 million in 2017 to over £13 billion in 2024 and longstanding campaigns to regulate what was previously unregulated credit.
- Under the proposals, providers must ensure consumers can afford repayments, offer support if difficulties arise, and borrowers will gain rights to complaint through the Financial Ombudsman Service.
- FCA interim director Alison Walters stated, "Credit is not right for everybody," emphasizing firms' flexibility in approach, while Clearpay reported that 48% of UK adults may use BNPL more after regulation.
- These measures aim to protect consumers from unsustainable debt and foster trust, but some shoppers may be denied credit, signaling a balance between protection and innovation.
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Total News Sources28
Leaning Left4Leaning Right1Center4Last UpdatedBias Distribution44% Left, 44% Center
Bias Distribution
- 44% of the sources lean Left, 44% of the sources are Center
44% Center
L 44%
C 44%
11%
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