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Even 15 years ago, my old company, a provider of core banking, payments, trade finance, and other banking solutions to banks in USA, was subject to biannual OCC audits - because the health and uptime of our solutions could threaten the stability of and confidence in the US financial system. 

Do these new rules in UK mean that providers of similar solutions to UK banks have not been subject to similar oversight from UK regulators so far?

I'm guessing US regulators wanted to act cool and innovative and be perceived as supporting democratization of financial services to help the American J6P achieve the American Dream of ... It was "home ownership" in the runup to GFC in 200x, not sure what it is now. They fulfilled their wish by maintaining an arms length with Neobank, BaaS and other Fintech Cool Cats. Eventually, what had to happen happened. Now that the S has hit the F, regulators don't want to get exposed, ergo they're forcing banks to police the fintech cool cats. Thankfully, smart US banks have seen through the regulators' ruse and are pushing back. I totally support the banks's POV. Regulators should regulate fintech and bear the risk of thwarting innovation in the process. They shouldn't be allowed to have their regulation cake and eat innovation too. 

Suppose a UK bank has implemented Confirmation of Payee. Suppose a consumer wants to pay John. Suppose their bank's CoP feature displays the name attached to the payee account number as Tom. Suppose the consumer still goes ahead and makes the payment. Suppose the consumer realizes after some time that they've been scammed. Does anyone know if the bank would be liable to compensate the consumer for the APP Scam that just happened under the new PSR for APP Scam Reimbursement rules? 

Only finsurgents considered banks the antithesis of innovation to pump up the valuations of fintechs. No one who has worked with banks did. End of the day, banks, not fintechs or any other industry, invented technologies like HFT for which even speed of light poses a limitation. 

My old companies have developed platforms for large banks in USA, UK, etc. in payments, trade finance, etc. and a majority of customers of those platforms were other banks, typically small banks who didn't have the bandwidth to build those platforms on their own and therefore used the ones owned by large banks. 

I love this (new?) trend of private sector companies suing rogue government regulators for regulatory overreach. May their tribe increase. 

Geoloc data has been used to detect fraud for over 20 years. 

In my 10-year old blog post entitled Difference Between Data Mining & Predictive Analytics, I'd given this real life example of the use of geoloc data in fraud detection:

"The PA software starts with the following inputs (“cause”): (a) the cardholder’s billing address is Norfolk, Virginia, USA (b) the last genuine transaction on this card happened in McCarthy Mall in Norfolk two hours ago (c) It takes at least 14 hours to travel from Norfolk, USA to Mumbai, India. By joining these dots, the software infers that John Doe couldn’t have reached Mumbai from Norfolk so soon and draws the conclusion (“effect”) that John Doe’s card was used by a fraudster in Mumbai."

Woz a coworker who swiped his credit card at Phoenix airport, took a flight to Dallas, where his credit card was declined because... because geoloc fraud detection. This was 20 years ago.  

These are very similar to your example. 

What exactly is new or innovative about the use of geoloc in fraud detection now?

In principle, I'm totally opposed to the Drunk Under Lamp Post APP Scam Reimbursement Rule but I do like your line "Faster Payments leads to Faster Frauds but Slower Payments does not Slow Fraudsters, what's needed is Cleverer Payments"!  

I've never understood this regulators' obsession with data. 

Data doesn't update itself. Code updates data. Code stores data in the software vendor's proprietary format, which is not intelligible to others, including the owner of the data itself. The vendor controls the code. Even if the software enables downloading of the data in CSV / open formats, the vendor controls access to that feature and can brick it unilaterally anytime. How does the location of data even matter? 

Per my conspiracy theory, SAAS vendors' eagerness to cooperate with regulators on data protection regs is a cunning ruse to divert their attention from the primacy of code and the near-futility of trying to regulate data.

In the context of BaaS, "disruption" can't mean anything in a good way.

Bank v. Neobank: Safety Of Money In The Light Of Synapse - Evolve Fracas

There's no shortage of GenAI pilots. Catch is, as Gartner recently reported, a third of GenAI projects will be axed after the PoC. While AI Maxis might spin that as "YaaY, a vast majority (67%) of GenAI PoCs will turn into full blown projects", it'd help to get some data on how many pilots have actually moved to production.