Update: On 3 November 2021 we published our final report.
This annex provides background information on the industry relevant to our assessment. It describes:
- the different types of card transactions
- the card payment systems operating in the UK
- the products that merchants buy to accept card payments
- the characteristics of merchants and how they buy card-acquiring services
- the main acquirers and payment facilitators serving merchants
- the third parties that help merchants accept card payments
- the pricing of card-acquiring services and other products that acquirers, payment facilitators and independent sales organisations (ISOs) offer
- the regulatory framework, scheme rules and industry standards that apply to acquirers and payment facilitators, focusing on those requirements that are most relevant to our assessment
- the alternatives to Mastercard and Visa cards for merchants
This document should be read alongside:
- Card-acquiring market review interim report (MR18/1.7)
- Annex 2 Pass-through analysis (MR18/1.7 Annex 2)
- Annex 3 Financial review (MR18/1.7 Annex 3)
- Annex 4 Scheme fees (MR18/1.7 Annex 4)
- Glossary (MR18/1.7 Glossary)
- Annex 5 Barriers to entry and expansion (MR18/1.7 Annex 5)
- IFF Research - annex on merchant survey results
- IFF Research - annex on their technical report