Merchant services
Merchant accounts in the UK: what they are and what they cost.
A merchant account is what lets your business accept card payments. We explain the options, compare published fees read 27 October 2026 and show how to get one.
WhatsApp and Telegram +44 7563 115980
[email protected]
A merchant account is what lets your business accept card payments. We explain the options, compare published fees read 27 October 2026 and show how to get one.
Published online rates from the major processors serving UK businesses, plus the quoted rates that only come on request. You see them side by side, on your own sales.
The short answer
A merchant account is the account an acquiring bank or processor opens so your business can accept card payments; the money from each sale lands there before it is paid to your bank. Online providers such as Stripe, Mollie and Square include one in their service, with UK card rates from 1.20% + 20p. Acquirers such as Worldpay quote individually. Prices read 27 October 2026.
Published prices read on 27 October 2026 from each provider's own pricing page. Quote only or not published means the provider gives rates on request; we obtain those for you.
| Provider | Standard UK card rate | European and international cards | Monthly fee | Payouts | Contract |
|---|---|---|---|---|---|
| Adyen Source | £0.11 + interchange++ + 0.60% | Same structure; interchange is higher | £0, no setup fee | Flexible, you choose | Not stated |
| Stripe Source | 1.5% + 20p standard UK cards; 2.8% + 20p premium UK cards | 2.5% + 20p EEA; 3.15% + 20p international; +2% if converted | £0 | Standard free; instant 1% (min 40p); first payout 7 to 14 days | Pay as you go |
| Mollie Source | 1.20% + 20p UK consumer cards | 2.90% + 20p European and UK commercial; 3.25% + 20p other | £0 | 5 free a month, then 25p each | No lock-in |
| Airwallex Source | 1.30% + 20p UK cards | 2.40% + 20p EEA; 3.15% + 20p international | £0 or £19 (waived over £10k) | Not on pricing page | Not stated |
| Square Online Source | 1.4% + 25p UK cards | 2.5% + 25p non-UK cards | £0, or Plus from £29 | Next day; instant 1.95% | Not stated |
| PayPal Source | 2.9% + 30p standard; 1.2% + 30p for advanced card payments | +1.29% EEA, +1.99% other markets | £0; £20 for Website Payments Pro | Free withdrawal to bank | Not stated |
| Worldpay Source | Indicative quote, e.g. 1% debit, 1.8% credit + 4.5p | Quote only | £5 PCI fee; £15 minimum monthly charge | 24 hours | Not shown in tool |
| Checkout.com Source | Quote only (interchange++) | Quote only | No setup or account fees | Not published | Not published |
| Elavon Online Source | Quote only | Quote only | Not published | Not published | Not published |
| takepayments Online Source | Quote only | Quote only | Not published | Next working day (may differ online) | Not published |
Rates are for online card payments taken by UK businesses, before VAT where the provider states it. Premium, business and non-UK cards usually cost more. Our service is free to you. We may receive a fee from the provider you choose; it never changes the price you pay.
Tell us about your business. We compare the whole market, including the processors that only quote on request, and come back with the lowest total cost for your online sales and the right set-up. You keep a named account manager after setup.
Our service is free to you. We may receive a fee from the provider you choose; it never changes the price you pay.
A merchant account is an agreement with an acquirer, the bank or regulated firm that collects card payments from Visa and Mastercard on your behalf. When a customer pays, the money goes into the merchant account first. The acquirer holds it briefly, deducts its fees and then settles the balance into your business bank account.
The account exists because card payments can be reversed. If a customer disputes a payment, the acquirer must refund the card issuer, and it recovers that money from you. That is why every acquirer checks your business before opening an account, and why some hold back part of your takings as a reserve if they see a higher risk.
A merchant account is not the same as a business bank account. You still need a bank account to receive the money. It is also separate from the payment gateway, the software that sends card details from your checkout to the acquirer, although many providers now sell both together.
There are two ways to get one. A dedicated merchant account comes directly from an acquirer such as Worldpay, Elavon, Adyen or Checkout.com. Your business is checked in detail, the account is in your name and the price is usually quoted for you. Worldpay's online pricing tool, for example, gives an indicative rate based on your yearly card turnover, average sale and sector.
An all-in-one provider, such as Stripe, Square, SumUp, Mollie or PayPal, signs you up under its own arrangements with the card schemes. You can usually apply online and start within days, at a published flat rate. This is how most small online businesses accept cards without applying for a separate merchant account.
The trade-off is control and price at scale. All-in-one providers can pause payouts or close accounts quickly if they see risk, and their flat rates do not fall unless you ask for custom pricing. Dedicated accounts take longer to open but are priced for your business.
Take a business selling £250,000 a year online at an average of £60, about 4,167 payments, all on UK personal debit cards. Worldpay's pricing tool, read 27 October 2026 for a retailer at that size, showed 0.8% for personal debit cards online plus a 4.5p authorisation fee. That is £2,000 plus £187.52, plus £60 a year in PCI DSS fees at £5 a month: £2,247.52 a year. The tool says its figures are indicative only.
On the same sales, Stripe at 1.5% + 20p costs £4,583.40 a year. Mollie at 1.20% + 20p costs £3,833.40. Adyen at £0.11 + 0.60% plus interchange comes to £458.37 + £1,500 + £500 interchange at 0.20%, or £2,458.37 a year plus scheme fees.
Credit cards change the picture. Worldpay's indicative rate for personal credit cards online at that size was 1.4%, and business cards 2.5%, so your card mix decides which option wins.
Every provider runs checks, known as underwriting, before it lets you take payments. Applications move faster when everything matches: the business name, website, bank account and director details should be the same on every document.
If you have taken cards before, your processing statements show your chargeback and refund levels, which an underwriter will read closely. Have these ready to speed things up:
You can accept card payments online without opening your own merchant account. Stripe, Square, SumUp, PayPal, Mollie and Airwallex all let a business sign up online and take payments under their own acquiring arrangements. For a new business this is usually the quickest and simplest start.
The costs are published, which makes comparison easy: 1.20% + 20p at Mollie, 1.30% + 20p at Airwallex, 1.4% + 25p at Square Online and 1.5% + 20p at Stripe for standard UK cards. PayPal's standard rate for payments through PayPal accounts is 2.9% + 30p. Stripe says first payouts typically take 7 to 14 days while it reviews a new account.
As sales grow, it is worth asking these providers for custom pricing, and comparing them with dedicated accounts. Stripe offers interchange plus pricing and volume discounts to businesses with large payment volumes, and Mollie offers volume pricing above £50,000 a month.
We compare the whole online payments market for you, including the processors that only quote on request, such as Worldpay, Checkout.com, takepayments and Elavon. We look at your real card mix, average sale and the countries you sell to, and work out the total monthly cost with each one, including monthly charges, dispute fees and payout costs, not just the headline rate.
We then negotiate the rate and terms, handle the application and the switch from your current processor, and give you a named account manager who stays with you after you go live and reviews your costs as your sales grow. Our service is free to you. We may receive a fee from the provider you choose; it never changes the price you pay.
A merchant account is an account with an acquiring bank or payment firm that lets your business accept card payments. Card payments are paid into it first, fees are deducted, and the balance is then paid into your business bank account, usually within one or two working days.
Published online rates for UK consumer cards range from 1.20% + 20p at Mollie to 2.9% + 30p for PayPal's standard rate, read 27 October 2026. Dedicated accounts are quoted: Worldpay's tool gave 0.8% for personal debit and 1.4% for personal credit at £250,000 a year, plus 4.5p per payment.
Yes. Providers such as Stripe, Square, SumUp, Mollie, Airwallex and PayPal let you take card payments under their own acquiring arrangements. You apply online, pay a published rate and can usually start within days. You still need a business bank account to receive payouts.
All-in-one providers can approve many businesses within days, although Stripe says first payouts typically take 7 to 14 days. Dedicated merchant accounts from acquirers take longer because the checks are more detailed. Having your documents and a complete website ready speeds things up.
Common reasons are an unfinished website, missing refund or delivery terms, a sector the provider restricts, a short trading history or high past chargebacks. A decline from one provider does not mean every provider will say no. We can tell you which providers accept your type of business.
No. A merchant account receives card payments and pays them out after fees. A business bank account holds your money and makes payments. You need both, although some providers, such as SumUp and Airwallex, also offer their own business account.
Tell us what you need and where you operate.