January 15th 2021
Brexit: The Changing Cost of Card Acceptance – CMSPI Insights
Global payment technology firm, and card scheme Mastercard recently announced that the interchange fees paid by European merchants selling to UK cardholders online will increase more than fivefold from October 2021.
Their announced changes will see interchange on debit card transactions rise from 0.2% to 1.15%, whilst credit transactions will see an increase from 0.3% to 1.5% of the transaction value.
This CMSPI Insights report aims to quantify the impact of Mastercard’s announced change, as well as the financial burden merchants will face if this signals the beginning of similar reclassifications across other transaction types.