A new way to get paid: Modulr adds cVRP to its Collections Hub

Modulr expands its Collections product suite with cVRP, launched in partnership with the UK Payments Initiative (UKPI).

Modulr, the payments automation platform built to scale, today announced the launch of commercial Variable Recurring Payments (cVRP), designed to offer a flexible, faster alternative to traditional payments for businesses collecting large volumes.

This announcement follows the rollout of the scheme by the UK Payments Initiative (UKPI). Modulr has helped shape the scheme from the outset as a UKPI founding shareholder and is delivering cVRP to customers as part of its Collections Hub, which offers unified access to multiple payment methods on one automated platform.

Faster, more reliable collections at scale

There are currently persistent challenges for businesses that collect recurring payments. Direct Debit failures have been increasing for five consecutive years and are currently sitting at 9% higher year-on-year in 2026 than 2025, representing significant costs for UK businesses.

Modulr’s customers are already using Variable Recurring Payments to automate and scale collections to their customer accounts. These include lenders, such as Oakbrook, who are providing borrowers greater flexibility, visibility, and control, and earned wage access businesses, which are enabling employees to easily manage and repay wage advances.

cVRP now expands the use cases that can benefit from Open Banking, enabling businesses to collect varying amounts from a customer’s account each month with just one initial, authorised sign-off, removing the need to ask permission each time. Every payment settles via Faster Payments, giving real-time confirmation.

Modulr brings cVRP to market through its Collections Hub, combining Direct Debit and Open Banking payments on a single platform built to scale with its 6,000+ customers. The Collections Hub is designed to respond to customers’ collections needs, with customers saying the Hub’s services add “resilience and reliability” to their processes.

Melek Pirgon, Chief Product Officer at Modulr, commented: “Businesses running high-volume collections shouldn’t have to choose between reliability and flexibility. cVRP gives them both. As a founding member of UKPI, we’re now delivering cVRP to customers as part of our Collections Hub, providing a scalable alternative to traditional payments.”

Richard Koch, Managing Director, UK Payments Initiative, added: “The launch of UKPI is a significant step in building a more modern and flexible payments ecosystem that gives businesses and consumers real choice. With Modulr bringing deep expertise in powering and scaling payment flows, we are strengthening the foundations needed to make open banking payments widely accessible, reliable and ready for everyday use.”