Precious Plastic - Beyond 2003

December 2003
This is our third annual research note covering the UK's store and credit card sectors. Our latest research into the UK credit card market shows that a reduction in interchange fees, which is being considered by the Office of Fair Trading (OFT), will cost the credit card industry more than £450 million per annum.

This is likely to result in higher charges for credit card users and the dilution or elimination of popular rewards programmes funded by interchange fees.

Credit cards and store cards have been under intense scrutiny over the past year and the UK market has continued to develop at a rapid pace. Issuers now face some key challenges, including falling market growth and regulatory pressures on fee income.

In combination, these factors will force providers to reshape their offerings to card holders and look outside the UK for growth opportunities.

Download a copy of the report, for an in-depth look at:

• Developments in the credit card sector
  
• The outlook for growth and defaults
  
• Store Wars! The trend of converting store cards to credit cards
  
• The impact of regulatory change