PayPoint and Lloyds Bank have expanded their partnership in a move that will see Lloyds Bank Cardnet become the main card acquiring partner across PayPoint’s network of over 60,000 SME and retailer partners.

The expanded partnership, which remains subject to regulatory approval, will offer merchants a banking and card services proposition that combines card payments, a 12-month fee-free Lloyds bank business account, and a connected commercial card offering.

PayPoint suggested the improved proposition will strengthen its market position, accelerate growth across its merchant estates and deliver more support for its SME and retailer partners.

The multi-year agreement will also aim to bring benefits to PayPoint’s customer base, including earlier in the day settlement, a faster onboarding experience, a new merchant app, and wider access to Lloyds’ range of business banking and lending products.

PayPoint CEO, Nick Wiles, said: “We are confident this partnership expansion will deliver an enhanced proposition and experience which will strengthen our market position, accelerate the growth of our merchant network and provide better tools and support for our SME and retailer partners as they look to grow their own businesses.

“Good execution of this partnership extension is another key element to the delivery of our overall business ambitions and our immediate target of delivering £100m EBITDA by the end of FY26.”

Managing director at Lloyds Bank Merchant Services, Melinda Roylett, added: “Our partnership with PayPoint is incredibly important for our next stage of growth and leveraging the significant investment we are making in the Lloyds Bank Cardnet Merchant Services business.

“The strength of its enhanced platform and network provides us with an unparalleled distribution capability to enable us to support even more UK SMEs with our leading range of card acquiring and wider banking services.”

The expanded partnership will pilot in Q2 FY24/25 ahead of a full launch in Q3.

---