An email sent to Amazon customers stated: “Starting 19 January, 2022, we will unfortunately no longer accept Visa credit cards issued in the UK, due to the high fees Visa charges for processing credit card transactions.”

The move comes after Visa increased fees in October 2021 to 1.5%.

Visa was disappointed by the e-commerce giant's move, and argued that the e-commerce giant would be limiting the customers' choices. 

The move by Amazon, earlier reported by Bloomberg News, has prompted the UK Trade Commission to call on the government to improve the UK-EU trade agreement and analysts to call on British regulators to look into the fees in the credit card market.

"If Amazon can't make it work, with all their resources and ability to navigate legislation to avoid costs, then small businesses have no chance and so the government must improve the UK-EU trade and cooperation agreement to keep British businesses competitive," said Tamara Cincik from UK Trade and Business Commission.