UK regulator proposes lower fees and wider access to iPhone contactless technology

Apple could face new requirements to lower access fees and open its iPhone contactless technology to more businesses in Britain under proposals announced by the Competition and Markets Authority on 20 October, Reuters reported. The regulator says the changes could make it easier for rival payment services to compete with Apple Pay. It is consulting before making a final decision.

What the CMA wants Apple to change

The CMA’s proposals address both Apple’s commercial terms and the technology businesses can use to build contactless services on iPhones. The regulator expects substantially lower access fees and would require Apple to provide access through the two main contactless standards used internationally: secure element and host-based card emulation. Apple currently offers secure-element access in the UK, the CMA said.

Why contactless access matters in Britain

Contactless transactions now account for 39% of payments, up from 3% a decade ago, according to the CMA. More than 60% of UK adults use a digital wallet, and Apple Wallet is the most popular, the regulator said. That reach makes the terms on which other businesses can use iPhone contactless technology consequential for prospective competitors.

The CMA says no company has launched a wallet-type product to compete with Apple’s in the UK. In the European Union, where Apple agreed to provide access to its near-field communication technology, the regulator identified Vipps as the first alternative payment app to launch, followed by PayPal, Klarna, Curve and BBVA. Reuters reported that the UK proposals are less onerous than the EU measures, which included free access for third-party wallet developers.

Apple’s response and the consultation deadline

Apple said developers can already offer contactless payments in their apps using near-field communication and its secure element, Reuters reported. According to Reuters, an Apple spokesperson objected to requiring an approach with lower privacy and security protections and said the company would continue to engage constructively. The CMA says evidence it has seen suggests neither of the two contactless standards raises inherent security concerns.

The CMA’s consultation closes on 17 November 2026. It said it will assess responses before deciding whether to adopt the measures. The proposed fees and access requirements could therefore change before any final decision.