European Payments Council launches SCARLET framework for EUDI Wallet payments

The European Payments Council has launched SCARLET, a rulebook for using EU Digital Identity Wallets in payment authentication, covering interoperability and liability allocation. The first version, SCARLET 1.0, is due in December 2027 after a public consultation in summer 2027.

• SCARLET was approved by the EPC Board on September 24 and announced this week
• The rules target over 3,000 payment providers and 27 expected wallets in the EU and EEA
• SCARLET 1.0 will align with PSD2, version 1.1 with the upcoming PSR from 2028–2029
• First rulebook version due December 2027 after a summer 2027 consultation