UK banks explore national payments system amid reliance on Visa and Mastercard

Senior executives from major UK banks are set to hold their first meeting to explore creating a national alternative to Visa and Mastercard, amid growing concerns that Donald Trump could restrict access to the US-based payment networks.

The meeting, chaired by Barclays UK CEO Vim Maru, is scheduled for Thursday, February 20. The initiative is being funded by City banks and has backing from the government.

While the idea of a domestic payments system has circulated for years, recent tensions, including Trump’s threats toward NATO allies over Greenland, have intensified worries that heavy reliance on American companies could expose the UK’s payments infrastructure and broader economy to geopolitical risk. According to the Payment Systems Regulator’s 2025 report, around 95% of card transactions in the UK are processed via Mastercard and Visa — a dominance made even more critical as cash usage continues to decline.

“If Mastercard and Visa were turned off, it would send us back to the 1950s,” a senior industry executive told The Guardian, referring to a time before cards dominated the UK economy and businesses relied almost entirely on cash. “Of course, we need a sovereign payments system.”