The United Kingdom’s competition regulator has proposed measures requiring Apple to widen access to its contactless payment technology, aiming to increase competition and give financial technology companies more opportunities to develop alternative digital payment services.
The Competition and Markets Authority (CMA) announced the proposals on October 20, 2026. The regulator is seeking to address concerns that Apple’s access fees, commercial terms and technical restrictions make it difficult for rival businesses to compete with Apple Pay and develop new services for iPhone users.
Under the proposals, Apple would be required to provide third-party developers with access to its iPhone contactless technology through two internationally used standards: secure element (SE) and host card emulation (HCE). Apple currently offers access through secure element technology in the UK.
Near-field communication (NFC) technology enables compatible devices, including smartphones, to communicate with contactless payment terminals and other readers. It supports services such as in-store payments and contactless travel systems.
The CMA has also proposed measures intended to substantially reduce access fees. Rather than directly setting prices, the regulator has outlined principles for determining access charges, with the aim of making it commercially viable for more businesses to develop competing products.
The proposals come as contactless payments and digital wallets become increasingly common in the UK. According to figures cited by the CMA, contactless payments accounted for 39% of all payments in 2025, compared with 3% a decade earlier.
More than 60% of UK adults use a digital wallet, with Apple Wallet identified as the most popular option. The regulator said that, unlike in the European Union, no competing wallet-type product had launched in the UK to challenge Apple’s position.
The CMA pointed to developments in the EU following regulatory changes introduced in 2024. After Apple agreed to provide third-party wallet developers with access to its NFC technology, alternative payment applications launched, including services from Vipps, PayPal, Klarna, Curve and BBVA.
The regulator believes that wider access to Apple’s technology could enable UK businesses to introduce competing services and expand existing offerings.
The proposed changes could create opportunities for financial technology companies, digital banks and other developers seeking to introduce alternative payment services on iPhones.
Beyond contactless payments, the CMA said improved access could support the development of account-to-account payment services, digital identification tools, age-verification systems, travel passes, loyalty programmes and digital keys for cars, hotels and workplaces.
The regulator also highlighted the potential benefits for the UK’s financial technology sector. Figures cited in its announcement estimate that the sector generates approximately £214 billion in turnover and supports more than 360,000 jobs.
CMA Chief Executive Sarah Cardell said that high fees, strict commercial terms and technical restrictions had made it difficult for competing businesses to innovate and compete. She said the proposals were intended to remove barriers and create opportunities for new products and services.
David Geale, executive director for consumers, payments and competition at the Financial Conduct Authority, also welcomed the initiative, stating that improved access and lower fees could support greater competition and consumer choice.
