The UK's Payments Regulator Calls out Visa and Mastercard for Fee Increases but Stops Short of any R

Content Summary

The UK's Payment Systems Regulator (PSR) has released interim findings on Card Scheme Fees, criticizing Visa and Mastercard for fee increases. Originally member-owned, both companies transitioned to publicly listed entities, with fee hikes anticipated following Visa Europe's acquisition by Visa Inc. in 2016. PSR's review highlights a significant increase in scheme revenues from merchants, with fees rising by 27% in 2022 compared to the previous year. Despite high profit margins for Visa and Mastercard, PSR's proposed actions are limited to demanding more detailed information and broader consultation on fee changes, likely resulting in continued fee hikes for merchants and ongoing confusion for acquirers.

Access this content

Choose an option below

Register to access this content

Your Work Email

Your Full Name

Your Company

Your Job Function

You might also be interested in

Unlocking Hidden Value in Banking and Payments Data

It amazes me how people can overlook the obvious. Treasury and Finance teams spend lots of time and energy implementing new systems to become more efficient. And they fail to...

Checkout Challenges: How Interest Rates Are Ringing Up Trouble for Retailers

As interest rates continue to climb, the U.S. retail sector faces new financial pressures that are reshaping everything from consumer spending to corporate debt management. With...

Higher Education in a High-Rate Era: Challenges and Opportunities

As interest rates climb, the U.S. higher education sector faces financial headwinds that could reshape its operations and funding strategies. With institutions relying heavily on...

The UK's Payments Regulator Calls out Visa and Mastercard for Fee Increases but Stops Short of any Real Action?