Issuers of credit cards are unpopular everywhere these days, and Britain's are no exception. Banks are grimly hanging on to £1.5 billion ($2.7 billion) in annual revenue that will be cut dramatically if the British consumer watchdog forces the world's two biggest credit-card associations and their bank members to reduce controversial charges.
The so-called interchange fees account for around 15% of credit-card income in Britain, according to Mercer Oliver Wyman, a consultancy, a big whack for an industry that is struggling to keep profit margins steady.…
[source: The Economist, subscription required, click here to view article]
