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Australian cafes raise coffee prices after card surcharge ban, tracker finds

A coffee price tracker found increases at 17% of surveyed cafes since the 1 October ban, but the figures do not establish why prices rose.

The Reserve Bank of Australia building on Martin Place in Sydney.
File photograph of the Reserve Bank of Australia building on Martin Place in Sydney, photographed on 27 November 2008. Danausi, RBA Building (resized and converted to WebP). Public domain.Image sourceImage licence: Public domain
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Australian cafes have raised coffee prices since the country’s card surcharge ban began on 1 October, according to a tracker cited by the Guardian on 13 October. Small Flat White found increases at 17% of more than 1,500 cafes it surveyed, but the figures do not establish that the ban caused the rises.

Among cafes that raised prices, the average increase was 50 Australian cents, or more than 10%, the Guardian reported. The tracker’s survey methods could not be independently checked.

What Australia’s surcharge ban allows

The Reserve Bank of Australia says surcharges on covered Visa, Mastercard, American Express and eftpos payments ended on 1 October 2026. Businesses can still reflect the cost of accepting cards in their overall prices.

Economist Stephen Wu told the Guardian that resilient demand and inflation could let businesses pass on wider costs. The Australian Restaurant & Cafe Association’s chief executive cited higher produce, rent and labour costs. Those explanations do not show what drove any individual cafe’s price change.

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