In December 2024, we published the final report on the market review into UK-EEA cross-border interchange fees. We concluded that a price cap was the only effective remedy to mitigate the harm to merchants and their customers resulting from the post-Brexit increases in the levels of cross-border interchange fees for UK-EEA, card-not-present transactions.
We launched a consultation on remedies which closed in February 2025 in which we sought stakeholder views on a phased approach to remedies, specifically on whether to impose an initial, interim cap which would remain in place while we carried out the relevant work to determine the appropriate level for those interchange fees.
Following the launch of the remedies consultation, we were notified that Mastercard, Visa and Revolut were seeking judicial review of our proposal to impose a price cap. Having paused work on the interim cap in March 2025, we have decided that it would be more effective to proceed with a cap only after we have developed a robust methodology and carried out analysis to determine the appropriate level for UK-EEA cross-border interchange fees.
What is in the document?
This document sets out our reasons for deciding not to proceed with an interim cap.
Who should read this document?
This document is relevant to the relevant to four-party card scheme operators, card issuers, card acquirers and merchants, as well as industry groups and trade bodies representing them.