Ozone API launches cVRP product for non-CMA9 UK banks

§ 01 Executive Snapshot

• What: Ozone API has launched a dedicated commercial Variable Recurring Payments (cVRP) product for non-CMA9 UK banks and payment service providers.
• Who: Ozone API, UK Payments Initiative (UKPI), NatWest Group, Nationwide, Monzo, Mastercard Open Banking Services, GoCardless, TrueLayer, Yapily, Plaid.
• Why it matters: This launch positions non-CMA9 institutions to participate in the evolving UK payments landscape, offering a competitive edge in monetizing Open Banking payments without needing extensive internal resources.

§ 02 Key Developments

• The cVRP product can integrate with an institution’s existing technology stack in eight to 10 weeks without requiring an internal build or dedicated standards monitoring team.
• Current live use cases include subscription management, utility bill payments, flexible loan repayments, and tax payments, with e-commerce one-click checkout planned for 2027.
• Ozone API’s product is OBL 4.0-compliant, providing automatic standards updates as the UK Open Banking standard evolves and is available as cloud SaaS or on-premise.

§ 03 Strategic Context

• The UK Payments Initiative, operational in 2026, marks the first new UK payment scheme since 2008, highlighting a significant evolution in the UK payments ecosystem.
• Ozone API’s offering comes at a critical time as Visa A2A is onboarding its first financial institution partners, indicating a shift towards monetizing Open Banking payments.

§ 04 Strategic Implications

• Immediate market consequences include enabling non-CMA9 banks to quickly adopt cVRP, potentially creating a more competitive payments landscape.
• Long-term operational implications involve a shift in how banks manage and implement Open Banking standards, allowing for enhanced service offerings and revenue streams.

§ 05 Risks & Constraints

• A potential risk includes the challenge for non-CMA9 banks to adopt the cVRP product in a timely manner, potentially leaving them behind in the evolving market.
• Competition from CMA9 banks, who are required to implement OBL 4.0, could create a two-tier market if non-CMA9 banks do not adopt cVRP quickly enough.

§ 06 Watchlist / Forward Signals

• Key upcoming milestones include the operational launch of UKPI in 2026 and the rollout of e-commerce one-click checkout in 2027.
• Future developments to watch include the number of non-CMA9 banks adopting the cVRP product and the impact on their market positioning relative to CMA9 banks.