Businesses and banks have been given more time to implement a new law which will make it more secure for customers to make electronic payments when using banking services or shopping online.

The second Payment Services Directive is a European law which was due to come into force on September 14.

The Central Bank of Ireland has said it recognises the difficulties with meeting this deadline. In a notice posted on its website, the Central Bank said, "The Central Bank of Ireland will continue to engage with the European Banking Authority and other National Competent Authorities in the European Union in relation to this issue, aiming to agree a harmonised approach to the migration time periods across the European Union."

The Banking & Payments Federation Ireland has welcomes the additional time for the implementation of Strong Customers Authentication rules for ecommerce transactions.

It said the extended migration period will allow more time for the ecommerce industry, including online businesses, to implement the new rules in a compliant manner.

Notwithstanding the notice from the Central Bank, the BPFI said card issuing banks in Ireland will continue to process ecommerce payment transactions from September 14 as they do today.