The cheapest card machine in the UK in 2026 is the Square Reader at £19 + VAT, with a flat 1.75% transaction fee and no monthly charges. But the cheapest hardware doesn’t always mean the lowest total cost. SumUp’s Solo reader costs more upfront at £79 + VAT, but its lower 1.69% rate saves money if you process more than £800/month in card sales. For businesses doing £2,500+ per month, SumUp’s Plus plan drops the rate to just 0.99% – cutting transaction costs nearly in half compared to Square or PayPal.
We compared 6 card machine providers on total cost of ownership: upfront hardware price, monthly subscriptions, transaction rates, contract terms, and hidden charges like PCI compliance fees and early termination penalties. All pricing was verified directly from provider websites in February 2026. If you prefer not to buy outright, our card machine rental guide compares monthly hire options.
- Cheapest card machine costs £19 + VAT - Square Reader with 1.75% transaction fee, no monthly charges
- Monthly plans start at £19 with lower transaction rates - cost-effective for businesses processing £3,000+ monthly
- No monthly fee providers suit occasional sellers - market traders, seasonal businesses & low-volume retailers
- Monthly plans save 30-50% at high volumes - but break-even point typically around £2,500 monthly processing
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Cheapest Card Machines Compared
The cheapest card machine in the UK is the Square Reader at £19 + VAT (£22.80 inc. VAT), with a flat 1.75% transaction fee and no monthly charges. However, if you process more than £2,500/month, SumUp’s Plus plan at 0.99% per transaction saves more despite the £19/month subscription.
| Card Machine | Upfront Cost | Monthly Fee | Transaction Rate | Contract | Settlement | Total Cost (£2k/mo) |
|---|---|---|---|---|---|---|
| Square Reader | £19 + VAT | £0 | 1.75% | None | Next day | £35/mo |
| SumUp Solo (PAYG) | £79 + VAT | £0 | 1.69% | None | Next day | £33.80/mo |
| SumUp Plus | £79 + VAT | £19 | 0.99% | None | Next day | £38.80/mo |
| PayPal Reader | £29 excl. VAT | £0 | 1.75% | None | 1–2 days | £35/mo |
| Dojo Tap to Pay | £0 (uses iPhone) | from £39.99 | 1% on excess | 12-month lock | Next day | £39.99/mo |
| Takepayments | £0 (rental) | from £25 | from 0.28% | 12 months | Next day | £30.60/mo |
Total cost = monthly fee + (transaction rate × £2,000). Excludes one-off hardware cost. SumUp Plus breaks even vs PAYG at ~£2,500/month card turnover.
Cheapest Card Machines With No Monthly Fees
Square (£19, 1.75%), SumUp Solo (£79, 1.69%), and PayPal Reader (£29, 1.75%) all charge zero monthly fees with next-day settlement as standard.
If you want the absolute lowest barrier to entry, these three card machines charge nothing per month – you only pay per transaction. They’re ideal for market traders, pop-up shops, mobile businesses, and anyone processing under £2,000/month in card payments.
The Square Reader is the cheapest way to start taking card payments in the UK. At £19 + VAT (£22.80 inc. VAT), it’s less than half the price of the next cheapest option. You connect it to your phone via Bluetooth, download the free Square POS app, and you’re taking payments within minutes.
- Hardware: £19 + VAT (contactless & chip)
- Transaction rate: 1.75% flat for all cards
- Monthly fee: £0
- Contract: None – keep it forever, use it when you want
- Settlement: Next day (free) or instant (1.5% fee)
- Includes: Free POS app with inventory, receipts, and sales reporting
Cheapest for: Businesses processing under £2,500/month who want the lowest possible startup cost. At £2,000/month turnover, you’ll pay just £35/month in total fees. Read our full Square review.
The SumUp Solo is a standalone card reader with a built-in screen – no phone required. At 1.69% per transaction with no monthly fee, it offers the lowest per-transaction rate of any no-contract, no-subscription card machine. The hardware costs more than Square at £79 + VAT, but the lower rate means it’s cheaper overall if you process more than about £800/month.
- Hardware: £79 + VAT (£94.80 inc. VAT) – standalone with built-in screen
- Transaction rate: 1.69% flat
- Monthly fee: £0
- Contract: None – 30-day money-back guarantee
- Settlement: Next day by 7am including weekends
Cheapest for: Businesses processing £800–£2,500/month who want the lowest ongoing cost without any monthly commitment. Read our full SumUp review.
The PayPal Reader (formerly Zettle) costs £29 excl. VAT for your first reader and charges 1.75% per transaction – the same rate as Square. The key advantage is PayPal integration: accept PayPal QR code payments alongside card payments, and manage everything through your existing PayPal account.
- Hardware: £29 excl. VAT (first reader), £69 each additional
- Transaction rate: 1.75% flat
- QR code payments: 1.5% + 10p (over £10) or 2.0% + 5p (under £10)
- Monthly fee: £0
- Settlement: Minutes (into PayPal account)
Cheapest for: Businesses already using PayPal for online sales who want a unified system. Also good for QR code payments at markets and events. Read our PayPal POS review.
Cheapest Card Machines With Monthly Plans
SumUp Plus costs £19/month at 0.99% per transaction, breaking even versus PAYG at approximately £2,500 monthly turnover for regular card-taking businesses.
Monthly-plan card machines charge a subscription but give you lower per-transaction rates – saving money if you process higher volumes. These are the cheapest options in each pricing model.
SumUp’s Payments Plus plan drops the transaction rate from 1.69% to just 0.99% for a £19/month subscription. The break-even point is approximately £2,500/month in card turnover – above that, Plus saves you money every month compared to PAYG.
- Hardware: £79 + VAT (same Solo reader as PAYG)
- Transaction rate: 0.99% flat
- Monthly fee: £19/month (or £189/year = £15.75/month)
- Contract: None – cancel anytime
- Settlement: Next day by 7am including weekends
Cheapest for: Businesses processing £2,500–£10,000/month. At £5,000/month turnover, SumUp Plus costs £68.50/month total vs £87.50 on Square – saving £228/year.
Dojo’s Fix Plan charges a flat £39.99/month that covers up to £3,999 in card turnover. Go over and you pay just 1% on the excess. For businesses processing close to that £4,000 threshold, the effective rate works out under 1% – cheaper than any PAYG option. Dojo also offers Tap to Pay on iPhone at £0 hardware cost.
- Hardware: from £79 (purchase) or £0 (Tap to Pay on iPhone)
- Fix Plan: £39.99/month covers up to £3,999 turnover, then 1% flat on excess
- Contract: 12-month price lock (30-day rolling after)
- Settlement: Next day including weekends
- Switch incentive: Dojo covers exit fees up to £500
Cheapest for: Businesses processing £3,000–5,000/month who want predictable costs. At £3,999/month turnover, you pay exactly £39.99 – an effective rate of just 1.0%. Read our Dojo review.
Takepayments offers the lowest advertised transaction rate of any UK card machine provider at 0.28% for domestic debit cards. However, pricing is entirely bespoke – you’ll need to get a quote based on your turnover, average transaction value, and card mix. Terminal rental starts from £25/month with no upfront hardware cost.
- Hardware: £0 upfront – terminal rental included in monthly fee
- Transaction rate: from 0.28% (domestic debit), 1.8–2.5% (corporate/international)
- Monthly fee: from £25/month (includes terminal rental)
- Contract: 12 months (shorter than the industry standard 18-36 months)
- Settlement: Next day
Cheapest for: Businesses processing £5,000+/month with high volumes of domestic debit card transactions. The bespoke pricing model means high-volume businesses can negotiate rates well below flat-rate providers. Read our Takepayments review.
Provider deep dives: Read our full reviews of Tide (1.5% flat rate, no monthly fees) and Revolut (from 0.8% for Revolut Business users). Weighing Square against SumUp? See our SumUp vs Square head-to-head comparison.
Which Card Machine Is Cheapest for Your Business?
Under £800/month: Square Reader (£14/month total). £800–£2,500: SumUp Solo PAYG. £2,500–£4,000: SumUp Plus. Over £10,000: Takepayments bespoke.
The cheapest card machine depends on how much you process each month. Here’s a quick guide based on monthly card turnover.
| Monthly Card Turnover | Cheapest Option | Monthly Cost | Why |
|---|---|---|---|
| Under £800 | Square Reader | Under £14 | Lowest hardware cost, low volume makes rate difference negligible |
| £800–£2,500 | SumUp Solo (PAYG) | £13.50–£42.25 | 1.69% rate saves vs Square’s 1.75%; no monthly fee |
| £2,500–£4,000 | SumUp Plus | £43.75–£58.60 | 0.99% rate + £19/mo beats all PAYG options above £2,500 |
| £4,000–£10,000 | Dojo Fix or SumUp Plus | £40–£118 | Dojo’s flat fee is best near £4k; SumUp Plus wins above £5,700 |
| Over £10,000 | Takepayments (bespoke) | From £53 | Negotiated rates from 0.28% beat all flat-rate providers |
Hidden Costs to Watch For
Square and SumUp charge £0 for chargebacks, while PayPal charges £14 and Stripe £20 per dispute – plus international card surcharges add 0.5–2% on all providers.
The headline rate isn’t always the full picture. Here are costs that can catch small businesses off guard.
Minimum monthly charges. Some contract providers charge a minimum monthly fee even if you don’t process any transactions. Takepayments includes this in their plans. No-contract providers (Square, SumUp, PayPal POS) never charge minimums.
Early termination fees. Contract-based providers charge if you leave early. Barclaycard charges £10/month for each remaining month. Dojo covers competitors’ exit fees up to £500 if you switch to them.
Chargeback fees. PayPal charges £14 per chargeback. Stripe charges £20. Square and SumUp don’t charge chargeback fees.
International card surcharges. All providers charge more for non-UK cards. Budget an extra 0.5–1.5% on top of standard rates for EU cards, and 1.5–2% more for international cards.
For a full breakdown of all fees, see our card machine and payment processing costs guide.
Last updated: February 2026. All prices and rates verified directly from provider websites. Your actual rates may vary based on business type and card mix. See our Square, SumUp, PayPal POS, Dojo, and Takepayments reviews for full details. For online payment options, see our guide to the best payment gateways UK.
