The British Retail Consortium (BRC) has welcomed news that the Payment Systems Regulator (PSR) will carry out a market review into card-acquiring services due to an “alarming increase in card fees and charges”.
Andrew Cregan, policy adviser at the BRC has welcomed the review, and said it comes at a time when the retail industry is facing “acute cost pressures”.
Retailers spend as much as £1.1bn on accepting payments every year and the PSR said card scheme fees are “spiralling”, which inevitably “pushes up costs” for ordinary shoppers.
The PSR will examine how competition in the supply of card acquiring services operates, and the outcomes of the competitive process. This includes looking at the fees merchants pay for card-acquiring services and the quality of service they receive.
Cregan added: “We welcome this much-needed review into card payments in the UK. We’ll be working in partnership with the PSR to ensure we’ve got a card market that supports the retail industry’s technologically-driven future.
The review is open for consultation until 14 September 2018.