Mastercard’s £200 Million Settlement Was Approved By The UK Court
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The United Kingdom’s court recently approved Mastercard’s £200 million settlement of a class action lawsuit brought on behalf of the country’s consumers. The green light was given by the Competition Appeal Tribunal.
Initially, the payments giant reached a deal with Walter Merricks, the man behind the case, back in December 2024. The deal was to finally settle the years-long litigation tied to credit card fees. The case represented millions of British citizens, and while the deal was reached, the litigation founder, Innsworth Advisors, challenged the settlement, claiming that the figure was undervalued.
The initial estimates said that the case’s worth was much higher, sitting at £10 billion. However, now the Competition Appeal Tribunal decided to approve the settlement after all, stating that it finds it just and reasonable, although admitting that it is disappointing compared to the original £10 billion claim.
Nearly A Decade-Old Case Is Coming To An End
The lawsuit itself has been active for almost a decade after Merricks initially filed it back in 2016. At the time, Merricks, who is a former head of the UK Financial Ombudsman Service, accused Mastercard of heavily overcharging British citizens for credit card interchange fees.
However, when the two parties reached an agreement in December of last year, he said that he was pleased with how things turned out after nearly nine full years of litigation with the payments giant. He explained that he agreed to a settlement, as he believed it would deliver meaningful compensation to class members who decide to come forward and participate in the distribution of the damages.
He added that he had hoped to recover more, but the case and facts developed in a way that meant that he could only recover less than what was initially expected. Still, he feels that he managed to secure the best possible amount, given the situation.
Tribunal chair Mr Justice Roth expressed his gratitude to the “counsel and those behind” for their assistance, stating that a judgment would be ready within the next three weeks.
