Best Credit Card Machines for Small Business UK

A credit card machine — also known as a chip and pin machine, PDQ machine, or card terminal — lets your business accept debit and credit card payments in person. With over 59% of UK transactions now made by card, choosing the right machine directly impacts your bottom line – see also integrated EPOS systems for full till solutions.

Card machines for UK small businesses cost nothing upfront on a pay-as-you-go terminal, with transaction fees replacing monthly charges. SumUp’s Air costs £39 outright and charges 1.69% per transaction – or 0.99% on its £19/month Payments Plus plan. Square’s Reader is £19 with a flat 1.75% rate on all card types. Dojo’s Go terminal is free on a rolling monthly contract at 1.4% for Visa and Mastercard. For higher-volume businesses processing over £5,000 per month, negotiated rates from traditional acquirers typically fall to 0.5–1.2% but require 12–18 month contracts and monthly terminal rental of £15–£25.

Contactless payment limits in the UK sit at £100, and all modern terminals accept Apple Pay and Google Pay as standard. Transaction settlement varies from next-day with Square and SumUp to 3–5 working days with traditional merchant acquirers — a cash-flow factor many small businesses overlook when comparing headline transaction rates alone.

For a closer look at this provider, read our full American Express merchant services review.

Traditional acquiring accounts from WorldPay, Barclaycard, and Paymentsense charge 0.3–1.5% interchange-plus rates – better value above roughly £10,000/month turnover, but require a 12–24 month contract. Total card acceptance costs run 1.4–2.5% of card turnover for most small businesses, depending on card mix and volume. All terminals sold in the UK must be PCI-DSS compliant; every provider in this guide meets that requirement.

We compared 10 card machines across transaction fees, hardware costs, contract terms, and ease of use to find the best options for UK small businesses in 2026.

*Dojo’s Fix plan includes all card transactions up to £3,999/month. 1% excess rate applies above that threshold.

What Is a Card Machine?

A card machine is a device that reads a customer’s payment card, verifies the transaction, and transfers funds to your business account. Modern machines accept chip and pin, contactless, and mobile wallets like Apple Pay.

Credit card machines in the UK range from free with pay-as-you-go transaction fees to over £2,000 for advanced countertop terminals on long-term contracts. The most popular option for small businesses is a no-monthly-fee card reader from providers like Square (1.75 percent per transaction) or SumUp (1.69 percent), which cost nothing upfront and require no contractual commitment. Mid-range options from Dojo and Takepayments offer lower transaction rates between 0.99 and 1.4 percent but charge monthly fees of £20 to £50.

For high-turnover businesses processing above £10,000 per month, contract-based terminals from Worldpay or Barclaycard typically offer the lowest per-transaction costs through individually negotiated interchange-plus rates. Over 59 percent of UK transactions are now made by card according to UK Finance data, making a reliable card machine essential for virtually all businesses regardless of size, sector, or location.

Chip and pin technology was introduced in the UK in 2004, replacing the old magnetic stripe and signature system. The chip (an embedded microprocessor) stores encrypted card data, while the PIN adds a second layer of authentication. This combination reduced counterfeit card fraud by 63% within two years of rollout.

Today’s card machines — whether called PDQ machines (Process Data Quickly), chip and pin machines, or card terminals — all handle the same payment types:

• Chip and pin: Customer inserts card and enters PIN
• Contactless: Tap-to-pay for transactions under £100
• Mobile wallets: Apple Pay, Google Pay, Samsung Pay
• Magnetic stripe: Swipe for older cards (increasingly rare)

Best Credit Card Machines for Small Business UK

The Square Terminal at £149 + VAT is the best credit card machine for most UK small businesses, offering 1.75% flat-rate fees, free POS software, a built-in receipt printer, and no monthly charges.

We tested each card machine on hardware quality, transaction fees, ease of setup, and value for money. Here are the 8 best credit card machines available in the UK right now.

Square offers three card machines — a £19 reader, £149 terminal, and £169 handheld — all with a flat 1.75% transaction fee, no monthly charges, and free POS software included.

Square’s hardware range covers every business size. The £19 Reader connects via Bluetooth to your phone and handles chip, contactless, and Apple/Google Pay. The £149 Terminal is a standalone device with a built-in receipt printer, touchscreen, and WiFi connectivity — no phone needed. The £169 Handheld adds portability with a long-lasting battery for tableside or delivery use.

What sets Square apart is the free POS software. Every machine comes with inventory management, sales reporting, staff management, and an online store — features that competitors charge £20-£50/month for.

Hardware options:

• Square Reader: £19 + VAT — Bluetooth card reader, pairs with phone/tablet
• Square Terminal: £149 + VAT — Standalone with touchscreen, receipt printer, WiFi
• Square Handheld: £169 + VAT — Portable with long battery life
• Square Stand: £99 + VAT — iPad POS mount with integrated reader
• Square Register: £699 + VAT — Full countertop system with dual screens

Fees: 1.75% in-person (flat rate), 1.4% + 25p online (UK cards). No monthly fees on the free plan. From £29/month on Plus plan for advanced features.

SumUp’s Solo card reader costs £79 + VAT with a 1.69% transaction rate — the lowest PAYG fee from any major UK card machine provider, and it works independently without a phone.

SumUp’s Solo is a standalone card reader with a touchscreen, WiFi, and optional mobile data connectivity — so unlike Square’s £19 reader, it doesn’t need a phone to work. At 1.69% per transaction, it undercuts every other PAYG provider on the market.

For businesses needing a receipt printer, the SumUp Terminal at £135 + VAT adds a built-in printer and larger screen. There’s also a POS Lite bundle at £290 + VAT that includes a Solo reader plus a tablet stand for counter-based retail.

Hardware options:

• SumUp Solo: £79 + VAT — Standalone touchscreen reader, WiFi + mobile data
• SumUp Terminal: £135 + VAT — Standalone with receipt printer
• POS Lite Bundle: £290 + VAT — Solo + tablet stand for counter use

Fees: 1.69% PAYG (no monthly fee), or 0.99% on Payments Plus (£19/month). Online payments 2.50%.

Dojo’s card machines start from £79 to buy, with a £39.99/month Fix plan that includes all card transactions up to £3,999 turnover — giving small retailers complete cost predictability.

Dojo offers both purchase and rental options. You can buy a terminal from £79 outright or rent from £15/month (for businesses with £100K+ annual turnover). The standout feature is Dojo’s Fix plan at £39.99/month, which bundles all your card transaction fees up to £3,999 monthly turnover — including Visa, Mastercard, and Amex.

Dojo also offers Tap to Pay on iPhone at no hardware cost, turning your iPhone into a card terminal. This is ideal for mobile businesses that don’t want to carry separate hardware.

Hardware options:

• Dojo Go: From £79 (purchase) — Portable with WiFi + 4G
• Terminal rental: From £15/month (requires £100K+ annual turnover)
• Tap to Pay on iPhone: £0 hardware — uses your iPhone as a terminal

Fees: Fix plan £39.99/month (all transactions included up to £3,999). 1% excess rate above £3,999. Amex included. 12-month price lock. The Flex plan offers custom negotiated rates with a choice of 30-day rolling or 12-month contract.

PayPal’s card reader costs just £29 + VAT for your first device, with 1.75% transaction fees and instant access to funds via your PayPal balance.

Our Access PaySuite review breaks down what you get and what it actually costs.

PayPal POS (formerly Zettle) offers the cheapest first card reader at just £29 + VAT. The Bluetooth reader pairs with your phone and handles chip, contactless, and mobile wallet payments. For businesses needing a standalone device, the PayPal POS Terminal at £149 + VAT includes a touchscreen and optional receipt printer. The UK market for mobile payments is growing at 26% annually, making card machine choice increasingly important.

The biggest advantage is instant fund access — card payments land in your PayPal balance immediately, and you can spend or transfer from there. If your business already uses PayPal for online payments, the unified dashboard is a significant time-saver.

Hardware options:

• PayPal POS Reader: £29 + VAT (first reader), £69 + VAT (additional)
• PayPal POS Terminal: From £149 + VAT (standalone with touchscreen)
• Terminal with scanner: £199 + VAT

Fees: 1.75% in-person. Manual entry 3.4% + 20p. No monthly fees, no contract.

Takepayments provides the lowest transaction rates in the UK from 0.28% on domestic cards, with professional-grade terminals rented from £25/month and a dedicated account manager included.

Takepayments uses a rental model rather than outright purchase. You get a professional-grade terminal (typically the A920 Pro) with 4G and WiFi connectivity, plus a dedicated account manager to help with setup and ongoing support. Transaction rates are bespoke — based on your monthly volume, card mix, and industry.

The trade-off is clear: you’ll pay monthly rental fees (£25-£65) but get significantly lower per-transaction rates. For a business processing £10,000/month, the savings from a 0.5% rate versus 1.75% amount to £125/month — far exceeding the rental cost.

Hardware: Terminal rental from £25/month (A920 Pro or equivalent). £0 setup fee. Terminals replaced free if faulty.

Fees: From 0.28% domestic cards (bespoke quote required). Business/corporate cards 1.8%-2.5%. Monthly minimum service charge applies.

Clover offers the most advanced card machine hardware on the market, from a £99 handheld reader to a £999 full register system, all with built-in POS software for inventory and staff management.

Clover is the premium option on this list. Where Square and SumUp offer simple card readers, Clover’s range includes purpose-built POS hardware with customer-facing displays, built-in receipt printers, and kitchen order routing for restaurants. The Clover app marketplace offers 300+ add-ons for loyalty, accounting, and employee scheduling.

Hardware options:

• Clover Go: From £99 — Bluetooth card reader
• Clover Flex: From £399 — Handheld with printer and camera
• Clover Mini: From £499 — Compact countertop terminal
• Clover Station: From £999 — Full POS register with customer display

Fees: From 1.4% transaction rate (varies by reseller). Monthly software from £9.99. Contracts 12-48 months.

Choosing a Card Machine by Business Type

The right card machine depends on where and how you sell. A market trader and a high street gift shop have very different requirements — barcode scanning, inventory management, and customer-facing displays matter for fixed retail, while 4G connectivity and portability matter for mobile traders.

Retail shops with 20+ SKUs typically need barcode scanning, split payments, and inventory tracking — features that basic card readers don’t cover. Square’s free Retail POS handles this out of the box; Clover’s app marketplace extends further with loyalty, age verification, and size/colour matrix inventory. For hospitality-specific advice, see our guide to card machines for restaurants.

For a broader view, see our guide to the best card machines for retail shops.

For individual provider reviews, read our verdicts on Tide, Revolut, and Tyl by NatWest. If budget is the priority, compare the cheapest card machines.

How to Choose the Right Card Machine

Choose based on monthly card turnover: under £2,000 go with Square or SumUp (no monthly fees), £2,000-£10,000 consider Dojo’s fixed plan, over £10,000 get bespoke quotes from Takepayments.

The best card machine depends on your business type, turnover, and how you trade. Here’s a quick decision guide:

Types of Credit Card Machine

There are four main types of card machine: mobile card readers (from £19), portable terminals (from £79), countertop POS terminals (from £499), and virtual terminals for phone payments (from £0).

Mobile Card Readers

Mobile card readers are the smallest and cheapest option. They connect to your phone via Bluetooth and use an app to process payments. Ideal for market stalls, pop-up shops, delivery drivers, and sole traders. Examples: Square Reader (£19), PayPal POS Reader (£29), SumUp Solo (£79).

Portable Terminals

Portable terminals work independently without a phone. They have built-in WiFi and/or 4G, a touchscreen, and often a receipt printer. Best for restaurants (tableside payments), retail shops, and businesses that need a professional standalone device. Examples: Square Terminal (£149), SumUp Terminal (£135), Dojo Go (from £79).

Countertop POS Systems

Full POS systems combine a card machine with a complete point-of-sale setup including a large touchscreen, customer display, receipt printer, and cash drawer. Designed for busy retail and hospitality businesses that need inventory management, staff scheduling, and detailed reporting. Examples: Square Register (£699), Clover Station (£999).

Virtual Terminals (MOTO Payments)

Virtual terminals let you process card payments on your computer — ideal for phone orders and mail-order businesses. No physical hardware needed. You log into a web portal, enter the customer’s card details, and process the payment. Available from most providers but with higher transaction rates (typically 2.5%-3.5%) due to the card-not-present risk.

How Much Does a Credit Card Machine Cost?

Credit card machines cost between £19 and £999 to buy, or £15-£65/month to rent. Total monthly costs depend on the transaction fee (0.28%-1.75%) multiplied by your card turnover.

The true cost of a card machine is hardware + transaction fees + monthly charges. Here’s what a typical small business processing £5,000/month would pay:

• Square Terminal: £149 upfront + £87.50/month in fees (1.75% × £5,000) = £87.50/month ongoing
• SumUp Solo: £79 upfront + £84.50/month in fees (1.69% × £5,000) = £84.50/month ongoing
• Dojo Fix plan: £79 upfront + £39.99/month flat + £10.01 excess (1% × £1,001) = £50/month ongoing
• Takepayments: £0 upfront + ~£25/month rental + ~£25 in fees (0.5% × £5,000) = ~£50/month ongoing

• At £5,000/month turnover — Dojo and Takepayments are roughly equal at ~£50/month total cost
• Below £4,000, Dojo's — fixed plan is cheapest
• Above £10,000, Takepayments' — low per-transaction rates win convincingly

Transaction Fee Structures

Card machine providers use two main pricing models:

• Flat-rate pricing: You pay the same percentage on every transaction regardless of card type. Square (1.75%) and SumUp (1.69%) use this model. Simple to understand, but you pay the same rate on cheap debit cards as expensive corporate credit cards.
• Interchange-plus pricing: You pay the card network’s interchange fee (set by Visa/Mastercard, typically 0.2%-1.5%) plus a fixed markup from your provider (e.g. 0.1%-0.5%). Takepayments and Dojo Flex use this model. More complex, but significantly cheaper for high-volume businesses.

For businesses processing under £3,000/month, flat-rate pricing is simpler and the cost difference is minimal. Above £5,000/month, interchange-plus can save £30-£80/month compared to flat-rate.

Hidden and Variable Fees to Watch For

Beyond the headline transaction rate, several additional fees can affect your total cost:

• Minimum Monthly Service Charge (MMSC): Contract providers typically charge £15-£25/month minimum, even if your transaction fees are lower. Low-volume months still cost this amount.
• PCI compliance fees: Some providers charge £5-£15/month for PCI DSS compliance. PAYG providers like Square and SumUp include this for free.
• Chargeback fees: If a customer disputes a payment, expect a £15-£25 fee per chargeback, regardless of the outcome.
• Early termination fees: Breaking a rental contract early can cost several hundred pounds. Check the exit terms before signing.
• Authorisation fees: Some traditional providers charge 1p-3p per transaction for card authorisation, on top of the percentage fee.

Should You Buy or Rent a Card Machine?

Buy if you want ownership and flexibility (break-even within 6-12 months). Rent if you want maintenance included and the ability to upgrade hardware, but expect to pay more over time.

Buying: Upfront Cost, Lower Ongoing Fees

Buying a card machine means a one-off payment of £19-£699 depending on the device. After that, you only pay transaction fees — no monthly rental charges. You own the hardware outright and can switch payment processors at any time.

The break-even point versus renting is typically 6-12 months. For example, a £149 Square Terminal versus a £25/month rental breaks even after just 6 months. Over 3 years, buying saves £750+.

Renting: Lower Entry Cost, Maintenance Included

Renting typically costs £15-£65/month with contracts of 12-48 months – for a detailed comparison of providers and contract terms, see our credit card machine rental guide. The monthly fee usually includes the terminal, maintenance, and free replacement if hardware fails. Some providers offer 30-day rolling contracts (like Dojo), while others require 12-month minimum commitments.

The downside: renting at £25/month costs £300/year or £900 over 3 years — far more than buying a £149 terminal. You also can’t switch providers without returning the hardware and potentially paying early termination fees.