The UK Competition and Markets Authority (CMA) is consulting on new proposals designed to transform how businesses in the UK can utilize contactless technology on Apple’s iPhone. The CMA's initiative aims to address concerns that Apple's current fees and access rules are hindering innovation and competition in the fintech sector.

With the UK being a leading fintech hub, generating approximately £214 billion in turnover, the CMA recognizes the importance of ensuring that businesses have the opportunity to compete effectively. Currently, Apple's fees and restrictive access to near field communication (NFC) technology are seen as barriers that prevent the growth of alternative payment solutions.

The CMA's proposals focus on two main areas: providing businesses with access to international contactless technology standards and ensuring that this access is commercially viable. By requiring Apple to allow access to both secure element (SE) and host-based card emulation (HCE) technologies, the CMA aims to foster a more competitive environment that encourages innovation.

Additionally, the CMA emphasizes the need for lower fees to enable businesses to develop viable products. While the CMA will not set specific prices, it expects that the new terms will significantly reduce the current fees charged by Apple, thereby allowing more businesses to enter the market.

These proposals align with the CMA's approach to digital markets and aim to create conditions that support the development of new products and services, such as digital wallets, IDs, and travel passes. The CMA believes that by removing barriers to entry, it can help British businesses thrive and enhance consumer choice.

The consultation period will close on November 17, 2026, after which the CMA will assess responses and make a final decision. The CMA's actions follow its designation of Apple as having Strategic Market Status in relation to its mobile platform, highlighting the need for regulatory intervention to promote competition.