Britain’s greatest banks to create different to Mastercard and Visa over Donald Trump fears

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Your help makes all of the distinction. Learn extra The UK’s largest banks are set to fulfill this week to debate the event of a nationwide funds system, geared toward decreasing the reliance on US networks amid concern over Donald Trump’s capability to modify them off.

As much as 95 per cent of card transactions made within the UK use methods owned by Mastercard or Visa, a report from the UK Fee Techniques Regulator confirmed final 12 months.

The plans have been beneath dialogue for years, however the current deterioration within the transatlantic relationship after President Trump’s risk to take over Greenland has accelerated considerations in regards to the UK’s over-reliance on US corporations that might affect the UK financial system.

One government concerned within the venture advised The Guardian that if Mastercard or Visa had been turned off, it might “ship the UK again to the Nineteen Fifties”.

US sanctions on Russia, the place companies are reliant on Visa and Mastercard for 60 per cent of funds, left unusual individuals with out entry to funds and unable to purchase items.

Barclays UK chief government Vim Maru will chair the assembly, based on studies, and executives from Lloyds Banking Group, Nationwide, NatWest, Santander and extra will even be concerned, in addition to UK Finance, which represents different trade voices together with the likes of American Categorical.

<img src="https://static.independent.co.uk/2026/02/17/11/52/iStock-1339737650.jpeg" srcset="https://static.independent.co.uk/2026/02/17/11/52/iStock-1339737650.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2026/02/17/11/52/iStock-1339737650.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Up to 95 per cent of card transactions made in the UK use systems owned by Mastercard or Visa, a report from the UK Payment Systems Regulator showed last year" class="sc-1mc30lb-0 ggpMaE"/> As much as 95 per cent of card transactions made within the UK use methods owned by Mastercard or Visa, a report from the UK Fee Techniques Regulator confirmed final 12 months (Getty) Whereas the brand new funds system is ready to be funded by the Metropolis, it has authorities backing, and the Financial institution of England will even be concerned within the improvement of infrastructure round a brand new community. The Treasury showcased plans for a brand new technology of retail funds infrastructure final 12 months.

Mastercard and Visa will not be being sidelined, both, with each taking a stake within the venture and remaining dedicated to their presence within the UK.

It has been prompt toThe Unbiased by these aware of the matter that the plans could possibly be extra about upgrading current networks slightly than creating a completely new funds system, mitigating any service errors slightly than as a direct and potential response to a US-based killswitch.

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Sarah Breeden, the Financial institution of England deputy governor, not too long ago identified that amid “difficult and altering cyber and operational threat atmosphere, [a domestic-based system] might present a level of additional resilience within the UK funds panorama, as an extra cost rail on the uncommon event of operational disruption to current rails”.

In Europe, plans for the same venture to scale back reliance on US corporations was spoken about not too long ago, as reported by the FT, with the chief government of the European Funds Initiative, Martina Weimert, saying that “independence is so essential” and calling for “pressing” motion amid an absence of cross-border choices.