Italian Antitrust Body Eliminates Payment Fees for Small Retail Transactions

Italy’s antitrust body has approved a deal that will eliminate payment fees and softens restrictions placed on small card transactions, following a 2022 promise made by the government to cut fees charged by financial firms on electronic transactions worth up to 30 euros ($33.6) for smaller businesses.

The decision, which was negotiated by retailers, banks and payment firms, is expected to result in a formal accord which enables major payment providers such as Nexi, Mastercard and Visa to avoid a windfall tax.

According to a Reuters report citing people familiar with the matter, the parties finalized the terms of a Memorandum of Understanding (MOU) last month, but financial firms were concerned about the risk of future fines, leading the Treasury to seek an opinion from the Antitrust body which greenlighted the deal.

The major push for such an accord was a demand from Prime Minister Giorgia Meloni, who has sought to relieve her constituents’ frustrations over unfair fines placed by the former administration of Mario Draghi.

Per the MOU, retailers, banks, and payment firms are encouraged to introduce competitive measures to ensure that customers will not be deterred from using cards to for purchases under 30 euros. With most commercial transactions already free of charge for purchases of up to 10 euros, the accord should not cause any drastic changes to the status quo.

This resolution on smaller-value payments may do little to address an issue of secondary ticketing that key tourist sites in Rome are currently facing.

As PYMNTS reported last month, Italy’s antitrust authority is investigating ticketing operations at the Colosseum and other ancient sites following reports of difficulties in buying tickets via the official website.

Carlo Rienzi, President of consumers rights body Codacons, raises the alarm over the widespread practice, whereby tour operators buy tickets from the official vendor, Societa Cooperativa Culture (CoopCulture), in bulk and resell them at significantly marked-up prices. This has led to a drastic decrease in the availability of tickets on the official website, as well as a steep impact on the Italian economy.

Letizia Casuccio, Director General of CoopCulture, argued that systems are in place to counter bulk ticket purchases, while Alfonsina Russo, Director at Colosseum Archaeological Park, one of the sites affected, expressed support for the ongoing investigation after filing a complaint with the police last year.