The Competition and Markets Authority is consulting on proposals to change how UK businesses build products on Apple's iPhone contactless technology. The regulator says Apple's fees and access rules for near-field communication (NFC) risk blocking UK fintechs - a sector it values at around 214 billion pounds in turnover and more than 360,000 jobs - from innovating and growing.
The proposals tackle two barriers. First, technical access: Apple would be required to provide access through the main contactless technology standards used internationally, with the CMA saying evidence suggests neither standard raises inherent security concerns. Second, commercial terms: the CMA is not proposing to set prices, but has proposed pricing principles with the expectation that charges would be substantially lower than Apple's current fees while still fairly rewarding Apple for access.
The context is stark: contactless payments now represent 39% of all UK payments, up from 3% a decade ago, and more than 60% of adults use a digital wallet, with Apple Wallet the most popular. Yet unlike in the EU, not a single firm has launched a competing wallet-type product in the UK; within six months of Apple opening NFC access in the EU, Vipps launched the first alternative payment app, followed by PayPal, Klarna, Curve and BBVA.
CMA Chief Executive Sarah Cardell said high fees, strict terms and technical restrictions make it too difficult for challengers to compete, and that removing barriers could enable payment apps, digital IDs, travel passes and digital keys. The Financial Conduct Authority's David Geale welcomed the move, saying improved access and lower fees should create more competition and support open banking.
The consultation closes Tuesday, November 17, 2026, with a final decision after responses are assessed. The CMA frames the proposals under its digital markets legislation powers; potential uses it lists include digital wallets and payment services, digital IDs and age-verification tools, digital car, hotel and workplace keys, tickets and loyalty services.