UK regulator proposes rules to force Apple to open iPhone NFC payment access

The UK Competition and Markets Authority has proposed new rules requiring Apple to open its Near-Field Communication technology to third-party developers, aiming to break what regulators describe as a near-monopoly on contactless smartphone payments. This move targets Apple’s current fee structure and access restrictions, which the CMA claims hinder innovation within the British financial technology sector.

According to Engadget, the regulator stated that Apple’s fees and rules are blocking UK fintechs and other businesses from innovating and growing. The CMA is seeking substantially lower charges and access to closed standards to allow competitors to operate effectively. The authority noted that not a single firm has launched a wallet-type product to compete with Apple in the UK market.

Regulatory Context and EU Comparisons

The CMA’s proposal mirrors the agreement Apple reached with European regulators in 2024. That deal required Apple to provide developers with NFC technology for tap-and-go payments, along with access to iOS features like Face ID authentication and double-click to pay. This commitment helped Apple avoid an antitrust fine of up to 10 percent of its worldwide annual turnover.

Apple subsequently offered third-party access to these functions in other regions starting with iOS 18.1. While UK developers currently have access to some of these features, they remain confined to Apple’s ecosystem and must pay specific fees. The CMA argues that this situation is inequitable compared to the broader access available in Europe, where multiple wallet options exist for consumers and businesses.

Impact on UK Fintech Industry

The UK is described as a leading fintech hub that supports more than 360,000 jobs. Approximately 39 percent of all payments in the country are now conducted using contactless technology, with Apple Wallet being the most popular choice among users. The CMA warns that Apple’s onerous fees and access terms risk blocking the ability of fintech firms to innovate and grow within this critical sector.

The regulator stated that its evidence shows neither the technology nor the proposed changes raise inherent security concerns. By opening Wallet access to the main contactless standards used internationally, the CMA aims to enable UK firms to roll out payment services that are already offered in the EU. This would create a more competitive landscape for digital payment providers operating in the United Kingdom.

What should you do?

The CMA’s consultation period will close on November 17, 2026. After responses are assessed, the regulator will make a final decision on whether to enforce these changes. Apple has already objected to the proposal, as it stated in a comment to Reuters. The outcome of this review will determine whether UK developers can launch competing digital wallet services without adhering to Apple’s current restrictive terms.

What to do and how to stay safe

• Hardware-backed key storage prevents attackers from extracting credentials even if they gain physical access to the device.
• Mobile device management enforces consistent security policies across diverse operating systems and hardware configurations.
• Application sandboxing limits the damage a compromised app can cause by restricting its access to other data and system resources.

Mobile device security requires a layered approach combining hardware, software, and policy controls. Enable encryption, use strong passcodes, and keep your operating system updated to protect your data.

Step-by-step guide: Mobile Device Security: How to Protect Data Beyond Passwords

General security guidance from the Threat Times newsroom. It is not confirmed advice from the organisations named in this story.