Regulatory sandbox

The regulatory sandbox allows businesses to test innovative propositions in the market, with real consumers.

Sandbox cohort 6: applications are now open until 31 December 2019. See how to apply.

Sandbox cohort 5: the firms accepted into sandbox cohort 5 were announced on 29 April 2019.

 

The sandbox is open to authorised firms, unauthorised firms that require authorisation and technology businesses that are looking to deliver innovation in the UK financial services market.

The sandbox seeks to provide firms with:

  • the ability to test products and services in a controlled environment
  • reduced time-to-market at potentially lower cost
  • support in identifying appropriate consumer protection safeguards to build into new products and services
  • better access to finance

The sandbox provides access to regulatory expertise and a set of tools to facilitate testing. The tools include restricted authorisation, individual guidance, informal steers, waivers and no enforcement action letters. Find out more information about sandbox tools.

We closely oversee the development and implementation of tests, for example by working with firms to agree bespoke consumer safeguards.

Sandbox tests are expected to have a clear objective (e.g. reducing costs to consumers) and to be conducted on a small scale. Firms will test their innovation for limited duration with a limited number of customers.

Contact us

If you have any questions about the sandbox, email [email protected] or call 020 7066 4488 and someone will be able to help you.

Impact of Innovate

In April 2019, we published a report outlining the impact of Innovate on the firms we have supported and how this promotes effective competition in the interests of consumers. 

In October 2017 we published a regulatory sandbox lessons learned report which reflects on insights and lessons learned from testing since the regulatory sandbox launched in June 2016.