European Payments Study 2025
Is there still headroom for growth?
The European payments landscape is evolving at an unprecedented pace, driven by the accelerating shift from cash to digital payments and shaped by regulatory and technological advancements.
As consumer preferences change and digital solutions become the norm, businesses must navigate a dynamic environment where market trends, compliance requirements and innovation intersect.
This study explores the key transformation drivers in Europe’s payment ecosystem, offering insights into the challenges and opportunities that lie ahead for industry stakeholders.
Key findings
- By 2027, the retail payment fee pool in the EU is projected to reach EUR 105 billion, with two-thirds of the fees being collected on the payee side.
- Moving away from cash is still an important driver of the volume of digital payments in the European market that benefits cash-intensive countries in particular.
- Fee income per transaction has dropped significantly below EUR 1 per payment transaction, with a continuing negative trend.
- Banks must strengthen their position on the payee side, where other providers currently have a stronger foothold.
- Cards are currently the leading digital payment method; however, initiatives like the EPI have a fair chance of challenging the status quo.
