PSR Publishes Final Terms of Reference on card fees market reviews

The PSR has today published its final terms of reference on both market reviews into card fees. The documents confirms scope, approach and timeline.

Market review of card scheme and processing fees

The PSR are now looking in detail at the levels, structure and types of scheme and processing fees, to understand if the supply of scheme and processing services is working well, with regards to their statutory objectives of competition, innovation and service-user interests.

They will be seeking further detailed information and insights from stakeholders and will publish a report setting out interim findings towards the end of 2023, and a final report, including any proposed remedies, in 2024.

Market review of UK-EEA consumer cross-border interchange fees

The PSR will be examining the drivers for the increases in these fees, to understand the rationale behind the increases in interchange fee rates for Mastercard and Visa’s consumer debit and credit card-not-present (CNP) transactions between the UK and the EEA.  

They expect to publish a report setting out interim conclusions in the second half of 2023 and a final report by the end of 2023.