The Future Banking Observatory

The Future of Payments

From payment rails to accountable commerce.

A living operating model for programmable, agentic payments that are safe, inclusive and trusted.

Executive Question

When payments become programmable and agents can move money on behalf of customers, who is accountable, and how do you prove it?

This is not only a rail-design question. It is an institutional operating-model question: who holds authority, how limits are enforced, what evidence is created, and when leaders can commit capital with confidence.

1. System Evolution

The future of payments emerges because today's system is under pressure from multiple forces at once.

System pressures

Economic growth Customer behaviour Regulation Competition Technology Financial stability

Current ecosystem

Consumers Merchants Schemes Banks Regulators PSPs Trust
Money
Data
Authority
Liability
Evidence

New equilibrium

Programmable money, agent commerce, digital identity, richer data and live regulation change the incentives. A new operating model emerges because the old one cannot absorb all of those forces without losing trust, margin or control.

2. Strategic Interaction

Every actor behaves rationally from its own position. Collectively, those decisions create the next operating model.

Player What they want What they cannot accept Likely move
Consumers Convenience and control Fraud, privacy loss, loss of recourse Use agent assistance where trust is visible.
Merchants Lower cost and higher conversion Complexity, slow settlement, liability drift Prefer real-time options if conversion holds.
Banks Deposits, risk control and customer relevance Disintermediation and margin erosion Defend the deposit relationship and agent-enable payments.
Wallets and Big Tech Customer ownership and intent capture Regulatory drag and platform dependency Become the intent layer if institutions move slowly.
Government Growth, inclusion and public rails Exclusion or systemic risk Mandate interoperability where the market will not coordinate.
Regulators Stability, fair outcomes and confidence Loss of control or market failure Require evidence before scale and stronger accountability.

3. Future Narrative Journey

The future payment does not start with a payment instruction. It starts with intent.

  1. Customer IntentThe person or institution states what they want to achieve.
  2. Delegated AuthorityPermissions, purpose, limits and expiry are established.
  3. Agent NegotiationAgents identify options, compare offers and validate constraints.
  4. Offer SelectionThe best option inside the authority is chosen and recorded.
  5. ExecutionThe instruction is sent securely, bounded, traceable and revocable.
  6. Evidence IntentIntent and context are recorded before value moves.
  7. SettlementFunds move across trusted rails with finality.
  8. EvidenceProof is captured end to end.
  9. Customer OutcomeValue is delivered to the intended recipient.
  10. Continuous LearningThe model improves and the evidence base grows.

4. Executable Journey

Who is involved, where authority sits, and how value and evidence move.

PayerInitiates intent or instruction.
Merchant / PayeeReceives value or instruction for goods and services.
AgentActs with delegated authority within policy and limits.
Payer Bank / PSPProvides accounts, risk, control and payment services.
Payment InfrastructureRails, clearing, settlement, identity and interoperability.
Payee Bank / PSPProvides accounts, crediting and post-payment services.
RegulatorSets rules, monitors conduct and protects stability.

Authorised flow of value and information: intent flows down, evidence flows up, control creates confidence.

5. Reference Architecture

Thin core. Institution-owned controls. Evidence built in.

Payment Core Orchestration
Decisioning
Routing
Settlement
Standards & Interoperability
Institution Layer
Agent LayerDelegated authority and orchestration.
Data & Context LayerTrusted data products and events.
Settlement LayerReal-time and batch settlement rails.
Evidence LayerEnd-to-end proof and audit.

Prototype Status

What is demonstrated, what is specified, and what remains on the roadmap.

Demonstrated now

  • ISO 20022 payment message flows
  • Account-to-account at POS prototype
  • Delegated payment agent with limits
  • Real-time fraud decisioning and feedback loop

Blueprint next 6-12 months

  • Programmable payments with conditions
  • Trusted consent and authority exchange
  • Interoperable settlement across instruments
  • Evidence service and audit trail

Roadmap 12-36 months

  • Agent-to-agent commerce at scale
  • Tokenised deposits and stablecoin settlement
  • Cross-border instant payments
  • Embedded payments and value-added services

Evidence Base

The living model is updated when the evidence changes, not because a publishing calendar says so.

86Sources
12Regulatory documents
9Industry reports
6Market data sets
28 Jun 2026Last updated

The institutional decision

Three questions every regulated institution should answer before the RPIB consultation closes.

Authority

What standard will represent delegated authority when an agent acts for a customer, and who owns the decision to honour it?

Evidence

What proof will the institution retain that the action was within authority, within limits, and suitable for the customer outcome?

Operating model

What must change in risk, operations, data and technology so programmable payments remain accountable at scale?

Change capacity

Which decisions must be made now so ISO 20022, Open Banking, fraud, stablecoins and agent commerce do not compete for the same scarce capacity later?

Decision Gate

Only when all five gates are open should delivery begin.

1Can regulation support it?

Is it compliant, resilient and within regulatory expectations?

2Can customers trust it?

Will they adopt it, use it and remain with us?

3Can institutions operate it?

Do we have the capability, operating model and resilience?

4Can technology deliver it?

Is the architecture mature, scalable and interoperable?

5Can we prove it?

Do we have evidence, prototype and economics that stand up?

Bring us a challenge worth solving.

Tell us the proposition, architecture decision, or transformation problem you are facing. We will tell you, honestly, whether and how we can help.

Discuss a challenge

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Living models and Field Notes on the future of banking. Published when the model changes, not on a schedule.