VocaLink, which operates the UK national payments infrastructure, a national grid for payments, has announced plans for a mobile payments service called Zapp. The service will launch by the end of the year and will be available for consumers to use from early 2014.

Zapp will offer consumers direct access to the money in their existing bank accounts and enabling real-time payments through their mobile phone. Payments will be processed by linking a mobile phone number to a bank account. Users will be able to check their balance via their banking app before confirming the payment.

VocaLink says it is collaborating with a group of stakeholders including financial institutions, merchants, merchant acquirers, billers and telcos, to set up, build and deliver a new framework for Zapp mobile payments.

“Speeding up the UK economy as we get back to growth is now crucial to our nation,” said VocaLink CEO, David Yates. “We are proud to be collaborating with financial institutions and retailers to spearhead the creation of a new payment system, which gives all of us easy access to the money in our bank accounts by using cutting-edge, secure technology through the mobile phone. The UK financial system has a rich history of speeding up the movement of money and Zapp is the next evolution.”