CHAPS Delays Disrupt High-Value Transactions

The Bank of England announced a global payments issue affecting CHAPS, leading to delays in high-value transactions, including house purchases. Retail payment systems remain unaffected. The BoE is working with a third-party supplier and other authorities to resolve the issue quickly.

The Bank of England announced on Thursday that a global payments issue is impacting the interbank payment service CHAPS. This disruption has led to delays in completing some high-value and time-sensitive transactions, including house purchases.

In a statement, the BoE acknowledged the significant impact this issue could have, and confirmed that they are collaborating closely with a third-party supplier, industry experts, and other regulatory authorities to resolve the problem as promptly as possible. Retail payment systems and cash machines remain unaffected, the Bank noted.

This is not the first time CHAPS has encountered technical difficulties. The system, operated by the BoE, experienced problems in August last year and in 2014, when its underpinning Real-Time Gross Settlement system malfunctioned for several hours.

(With inputs from agencies.)