(1) A person providing only the payment service referred to in paragraph 8 of the Schedule shall be -
(a) exempt from the application of the procedure and conditions set out in Regulations 7 to 32, with the exception of Regulation 7(1), subparagraphs (a), (b), (e) to (h), (j), (l), (n), (p) and (q) of Regulation 7(2), Regulation 7(7), Regulation 25 and Regulation 26, and
(b) subject to Regulations 33 to 40, with the exception of Regulation 34(2).
(2) A person referred to in paragraph (1) of this Regulation shall be treated as a payment institution, save that Parts 3 and 4 shall not apply to them, with the exception of Regulations 65, 69 and 76, where applicable, and of Regulations 91, 93 and 118 to 120.