Britain’s Competition and Markets Authority (CMA) proposed giving rival developers a second route into Apple’s iPhone contactless system, seeking to lower access charges and broaden competition in digital services.
The Oct. 20 proposal would add host-based card emulation to the secure element access Apple already offers eligible UK developers. That existing route requires a commercial agreement covering applicable fees. The CMA would establish principles for access charges rather than prescribe a price.
The regulator expects charges to be substantially below Apple’s current fees while still compensating the company. It says competing services need commercially workable terms as well as the technical ability to use an iPhone’s contactless functions.
UK Finance recorded 19.2 billion contactless payments in 2025, up 2% from 2024 and representing 39% of all UK payments. The count combines transactions made with physical cards and mobile devices; it does not isolate iPhone payments.
The proposed access could also support digital IDs, travel passes and keys, the CMA said. Developers could gain more room to offer those services, while iPhone users could gain more choice among providers.
In July 2024, the European Commission made Apple’s pledge of free host-based card emulation access binding for eligible wallet developers in the European Economic Area. Vipps MobilePay said it introduced an alternative in-store iPhone payment service in Norway that December. The UK plan would set fee principles rather than promise free access.
An Apple spokesperson, in comments reported by Reuters, said the approach sought by the CMA would weaken privacy and security protections. The regulator said the evidence it reviewed did not show an inherent security concern with either access method.
Apple’s mobile platform has held the CMA’s strategic market status designation since Oct. 22, 2025. That status allows the regulator to consider targeted conduct requirements. Responses to the proposal are due Nov. 17; the CMA will review them before deciding whether to impose the requirement.
