'Not a single firm has launched a wallet-type product to compete with Apple.'
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The UK is taking aim at Apple's near-monopoly on contactless NFC (Near-Field Communication) smartphone payments, according to a new proposal from the Competition and Markets Authority (CMA). Noting that "Apple's fees and rules are blocking UK fintechs and other businesses from innovating and growing," the regulator says it wants "substantially lower" charges and Apple to open up its closed standards.
The CMA outlined its concerns with Apple's NFC payment system, noting that the UK is a leading fintech hub that... support[s] more than 360,000 jobs." It added that 39 percent of all UK payments are now done using contactless tech, with Apple Wallet being the most popular choice. However, Apple's fees and access rules for NFC tech "risk blocking [fintech's] ability to innovate and grow" due to "onerous" fees and access terms, the regulator stated. And unlike in the EU, "not a single firm has launched a wallet-type product to compete with Apple's in the UK," the CMA stated.
The CMA appears to want the same deal that Europe has. In 2024, Apple committed to providing developers with NFC technology used for tap-and-go payments for, while also giving access to iOS features like Face ID authentication and double-click to pay. The agreement saved Apple from an antitrust fine up to 10 percent of its worldwide annual turnover. Apple subsequently offered third-party access to such functions in other regions starting with iOS 18.1.
UK developers have access to such features as well, but unlike in Europe, they're stuck in Apple's ecosystem and must pay fees. To that end, the CMA is proposing that Apple open Wallet access "to the main contactless standards used internationally" so that UK firms can roll out payment services already offered in the EU. The regulator said its evidence shows that "neither technology raises inherent security concerns."
It also wants to make access to Apple's services "commercially viable." Rather than setting prices itself, the CMA would rather "propose principles" for how such rates should be determined, with the expectation that charges would be "substantially lower" than Apple's current fees.
The consultation will close on November 17, 2026 and a final decision made after the responses are assessed. Apple has already objected, as it said in a statement to Reuters. "We do not believe the CMA should require Apple to adopt an approach with lower privacy and security protections," an Apple spokesperson said. "We will continue to engage constructively to reach an outcome that is in the best interest of our users."