Mastercard is being sued for £14 billion, the largest ever British legal claim, following allegations that the firm overcharged 46 million customers.

The suit follows a 10 year legal battle which concluded in 2014 when the European Court of Justice ruled that Mastercard’s ‘interchange fees’ – the fees retailers pay banks to process card payments – were too high, and were pushing up prices for consumers.

Mastercard subsequently lowered their fees but faces a claim for damages to businesses which accepted its credit and debit cards over a 16 year period between 1992 and 2008.

The action, on behalf of consumers, has been brought by Walter Merricks, the UK’s former chief financial services ombudsman and backed by law firm Quinn Emanuel.

Merricks, writing on the law firm’s website, said: “The filing of this claim is the first step towards consumers obtaining compensation for what MasterCard did.

“MasterCard charged billions of pounds of unlawfully high fees for its sole benefit and to the detriment of consumers. It has already been found to have broken competition law, the basis of which was to protect consumers, and that cannot be disputed.”

Mastercard however has vowed to fight the claim. The firm’s UK CEO, Mark Barnett, said: “Now that the claim has been filed, we will take time to review it in detail, however we continue to firmly disagree with the basis of this claim and we intend to oppose it vigorously.

“We deliver real value through the benefits of security, convenience and consumer protection, and we are committed to investing in our payment services in order to continue to meet the rapidly evolving needs of all our customers.”

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