Retailers Call for Antitrust Action Over Rising Visa and Mastercard Fees
Europe’s largest retailers and e-commerce firms have appealed to the European Commission to take regulatory action against Visa and Mastercard. The group claims the card giants impose excessively high and opaque fees that harm European competitiveness and disadvantage alternative payment providers.
Visa and Mastercard dominate payment card processing across the euro zone, handling around two-thirds of all card payments. In a letter dated 13 May and seen by Reuters, the retailers accused the companies—known in the industry as International Card Schemes (ICSs)—of inflating fees without oversight.
The complaint was addressed to several key EU figures, including antitrust chief Teresa Ribera, financial services commissioner Maria Luís Albuquerque, and economy chief Valdis Dombrovskis.
Fees Have Increased Without Service Gains, Say Retailers
The group cited a 2024 report by The Brattle Group, which found ICS fees rose by nearly 34% between 2018 and 2022—an average increase of 7.6% per year—excluding inflation. Retailers argue these hikes came without any improvement in services provided to merchants or consumers within the EU.
“ICSs have been able to increase their fees without competitive challenge or regulatory scrutiny,” the letter stated. “Their fee systems are so complex and opaque that users cannot understand or challenge what they are paying for.”
Visa defended its fee structure, stating that its charges reflect the value it delivers, including high security, fraud prevention, operational resilience, and broad consumer protections.
Mastercard declined to comment on the issue.
EU Digital Currency Seen as a Slow Alternative
Retailers also voiced frustration over the European Union’s slow progress in developing a digital euro, which is viewed as a potential alternative to reliance on American payment networks. Some policymakers and businesses are growing impatient with the delays in this initiative.
The letter’s signatories include major industry groups such as EuroCommerce, Ecommerce Europe, Independent Retail Europe, the European Association of Corporate Treasurers, and the European Digital Payments Industry Alliance.
Notable members of these groups include Aldi, Amazon, Carrefour, eBay, H&M, Ikea, Intersport, Marks & Spencer, Worldline, Nexi, and Teya.
Retailers are urging the Commission to act under EU antitrust rules. They seek the introduction of price controls on interchange fees, transparency requirements for ICSs, non-discrimination obligations, and a mechanism for regulators to review their actions.
with inputs from Reuters
