THE RETAIL BULLETIN - The home of retail news
Click here
Home Page
News Categories
Commentary
CX
Department Stores
Desert Island Stores
Electricals and Tech
Entertainment
Fashion
Food and Drink
General Merchandise
Grocery
Health and Beauty
Home and DIY
Interviews
People Matter
Retail Business Strategy
Property
Retail Solutions
Electricals & Technology
Sports and Leisure
TRB conference review
Christmas Ads
Shopping Centres, High Streets & Retail Parks
Uncategorized
Retail Events
People in Retail Awards 2024
Retail Ecom North
Retail HR North 2025
Retail Omnichannel Futures 2025
Retail HR Central 2025
The Future of The High Street 2025
Retail Ecom Central
Upcoming Retail Events
Past Retail Events
Retail Insights
Retail Solutions
Advertise
About
Contact
Subscribe for free
Terms and Policies
Privacy Policy
PayPoint criticised for raising charges

Independent retailers are disappointed that payment provider PayPoint is to push ahead with plans to increase its service fee charge by 3.9% next month. Senior Fed… View Article

FOOD AND DRINK NEWS UK

PayPoint criticised for raising charges

Independent retailers are disappointed that payment provider PayPoint is to push ahead with plans to increase its service fee charge by 3.9% next month.

Senior Fed officials were first advised of the increase during a meeting with PayPoint management last month.

At this meeting, the Fed reminded PayPoint of the challenging trading environment that retailers were operating in and the low margins that retailers received in return for having a PayPoint terminal.  During discussion, PayPoint was pressed to think again.

However, this week, letters were being sent out to PayPoint customers advising that as in past years, the company had reviewed its service fee charges in line with the Retail Price Index (RPI).  At the time of doing so – on February 16 2022 – RPI was confirmed at 7.8 per cent.

However, PayPoint further advised in the letter that in recognition “of the broader cost pressures for our retailer partners, we feel it would not be right or appropriate to apply this in full” and was raising its charge by 3.9 per cent, absorbing any additional burden itself.

Commenting on the increase, Fed National President Narinder Randhawa said: “As each day goes by, it seems that independent retailers are being hit with one blow after another.  We are already expecting huge hikes to our energy bills from April, coupled with increases in the minimum wage and associated employer contributions and the reintroduction of business rates.

“Now, despite being encouraged to do otherwise, PayPoint is adding to our financial woes by increasing its charges,” Mr Randhawa added.

“When we were first told of its plans, we thought we had made it clear that we vehemently disagreed with it. It is very disappointing, then, that PayPoint is pushing ahead with any increase at such an economically challenging time for independent retailers everywhere.”

To mitigate the effects on independent retailers, however, the Fed will work with PayPoint on making members aware of opportunities from the utilities provider’s other initiatives, such as PayPoint Counter Cash, MyStore+ rewards app and Love2Shop digital vouchers.

Mr Randhawa added: “We are pleased that representatives from PayPoint have agreed to attend our spring national council meeting in Birmingham in April to explain more.”

 

Subscribe For Retail News