UK Mandates BNPL Affordability Checks From Today

Tough new affordability checks for buy now, pay later users took effect across the UK on Wednesday, covering the £14 billion market.

The Treasury hailed the regulations as delivering a 'fairer deal' for shoppers, but consumer groups warned millions could be excluded and pushed towards unregulated lenders.

Research showed BNPL usage among customers had increased by 3,793%, highlighting the urgency of the new rules.

The regulations mean millions of people will face checks at the point of purchase, with the possibility of being refused if they fail affordability assessments.