The UK will soon start banning shops and stores from charging a fee for credit card and debit card transactions. As reported by The Bristol Post, the new law goes into effect on January 13th and will permanently do away with additional fees for credit and debit transactions, including Apple Pay

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The new law is applicable both in-store and online and extends to debit cards, credit cards, American Express, PayPal, and Apple Pay.

All purchases made in the UK from UK businesses will be protected by the law, and it will also apply to any surcharging by local councils and government agencies.

Surcharging by local councils and government agencies, such as the DVLA, will also be banned.

The new law in the U.K. follows an EU directive, which means that other countries in the European Union will also be rolling out bans for debit and credit card surcharges.

The goal of the law is to ensure that businesses do not profit from debit and credit card transactions and only “charge what it costs,” referring to the product or service being purchased. Some fear, however, that the law could put a strain on small businesses and force them to increase their prices.

Reducing the fees associated with Apple Pay should further help its adoption in the U.K., where contactless technology is already light years ahead of the United States.

Do you think this law is a good move or will it only lead to businesses sneaking fees into the cost of goods and services? Let us know what you think down in the comments.


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