One of the world’s leading e-Commerce companies, Amazon.com Inc has said it will stop accepting Visa Inc issued credit cards in the United Kingdom in 2022 because of the company’s high transaction fees.
The e-Commerce giant disclosed on Wednesday.
“As a result of Visa’s continued high cost of payments, we regret that Amazon.co.uk will no longer accept UK-issued Visa credit cards as of 19 January, 2022,” an Amazon spokesperson said in an emailed statement.
Amazon customers can still use Visa debit cards, Mastercard and Amex credit cards, and Eurocard, the company said in a note to its customers.
“We are very disappointed that Amazon is threatening to restrict consumer choice in the future,” a Visa spokesperson said in a statement.
“We continue to work toward a resolution, so our cardholders can use their preferred Visa credit cards at Amazon UK without Amazon-imposed restrictions come January 2022.”
The high fees were after Britain exited the European Union, together with the EU-enforced cap on fees charged by card issuers.
However, UK Trade Commission has called on the government to improve EU-UK trade relations and look into fees charged by card issuers.
“If Amazon can’t make it work, with all their resources and ability to navigate legislation to avoid costs, then small businesses have no chance and so the government must improve the UK-EU trade and cooperation agreement to keep British businesses competitive,” said Tamara Cincik from UK Trade and Business Commission