The EU-wide Interchange Fees Regulation (IFR), adopted between 2015 and 2016, reformed the card payment sector by introducing a cap on interchange fees for consumer card payment transactions as well as several provisions aimed at enhancing market transparency, competition, and the functioning of the EU single market.

Our newest report for the European Commission written in collaboration with EY provides a comprehensive evaluation of the effects of the regulation in the period 2015-17 and will inform the IFR revision that will take place in 2020.

Our study shows that the IFR has reduced the interchange fees for card-based payments and generated a decline in merchants’ costs of accepting card payments. This has in turn led to higher acceptance of card payments and in the longer run is expected to lead to lower consumer prices, saving European consumers almost EUR 900 million every year. On the other side, acquiring margins and scheme fees from international card schemes have increased, reducing some of the consumer benefits.

Learn more about the study
For further information, please contact Dr Claus Kastberg Nielsen or Dr Federico De Michiel