Payment Gateways UK: Compare Online Payment Processing

What Is a Payment Gateway?

A payment gateway is the technology that processes online card payments. When a customer enters their card details on your website, the gateway encrypts the data, sends it to the card network (Visa/Mastercard) for authorisation, and returns an approval or decline to your checkout page — typically in under 3 seconds.

In the UK, payment gateways are used by ecommerce businesses, subscription services, and any company that accepts payments through a website or app. Popular providers include Stripe, Worldpay, Adyen, and Opayo (formerly Sage Pay).

Stripe vs Alternatives: UK Payment Gateway Overview

Stripe dominates the UK payment gateway market for developer-led businesses, but it's not always the cheapest or most suitable option. Here's how the main providers compare:

Payment Gateway Fees Breakdown

When comparing payment gateway fees, look beyond the headline rate:

• Transaction fees — percentage + fixed fee per transaction. This is the main cost.
• Monthly/annual fees — some providers charge a platform fee regardless of volume.
• International card surcharges — EU and non-EU cards typically cost 0.5%–1% more than UK-issued cards.
• Chargeback fees — £15–£25 per disputed transaction.
• Payout fees — most UK providers include free payouts, but some charge for instant or same-day settlement.

How to Choose a Payment Gateway

The right gateway depends on your platform (Shopify, WooCommerce, custom), monthly volume, average order value, and whether you need in-person payments too. Key questions:

• Do you need a hosted checkout (simpler) or a custom-built one (more control)?
• Will you process international cards? Check non-UK card surcharges.
• Do you need recurring billing/subscription support?
• How important is same-day or next-day settlement?

Compare payment gateways based on your actual business profile, or get a free fee review.

Frequently Asked Questions