Square Fees UK (2026): Complete Pricing Guide for UK Businesses

If you’re considering Square for your business, one of the first questions you’ll probably ask is: how much does Square cost?

Square is one of the UK’s most popular card payment providers, offering card readers, point of sale (POS) systems, online payments and business software under a simple pay-as-you-go pricing structure.

In this guide, we’ll explain exactly what Square fees UK businesses can expect, including transaction fees, card reader prices, subscription plans, online payment fees and additional costs you should be aware of before signing up.

If you’re comparing providers, you may also find our guides to Best Card Payment Machines UK, Square vs SumUp UK, SumUp vs Zettle UK, Cheapest Card Readers UK, Card Machine Fees Explained, SumUp Fees UK, Zettle Fees UK and Dojo Fees UK helpful.

What Are Square Fees?

Unlike SumUp, Square combines payment processing with a powerful point-of-sale ecosystem that can scale from sole traders and market traders through to established retailers, hospitality businesses and multi-location operations.

Square fees are the charges you pay when accepting card payments through Square’s payment ecosystem. Depending on your business needs, Square also offers software subscriptions that provide additional retail, restaurant and appointment-management features.

These plans range from a free pay-as-you-go option through to industry-specific subscriptions for retailers, restaurants and appointment-based businesses.

Square’s costs generally fall into four categories:

• Transaction fees
• Hardware costs
• Subscription plans
• Online payment fees

For most businesses, transaction fees will represent the largest ongoing cost.

The good news is that Square uses a transparent pricing structure. You don’t need to negotiate rates, sign lengthy contracts or worry about minimum monthly processing requirements.

This simplicity is one of the main reasons Square has become popular with:

• Sole traders
• Retail shops
• Cafés and restaurants
• Market traders
• Tradespeople
• Service businesses

While many providers focus primarily on payment processing, Square’s combination of card payment acceptance, POS software and business management tools makes it particularly attractive to businesses that expect to grow over time.

Square Transaction Fees

Transaction fees are the main ongoing cost of using Square.

Every time a customer pays by card, Square deducts a small percentage before transferring the remaining funds to your account.

Unlike some traditional card payment providers, the fee remains the same regardless of whether you process a small or large number of transactions each month.

Impact on Profit Margins

Transaction fees may appear small, but they can have a noticeable impact on profit margins over time.

For example, if your business processes £2,000 per month in card sales:

1.75% of £2,000 = £35 per month

At £5,000 monthly card sales:

1.75% of £5,000 = £87.50 per month

At £10,000 monthly card sales:

1.75% of £10,000 = £175 per month

📱 Viewing on mobile? Swipe left and right to see the full table.

Monthly Card Sales	Estimated Fee at 1.75%
£2,000	£35.00
£5,000	£87.50
£10,000	£175.00
£20,000	£350.00

As card volumes increase, payment processing costs become a more significant business expense.

Square Hardware Costs

Square currently offers six main ways to accept card payments in the UK, ranging from free Tap to Pay on a compatible smartphone through to the fully featured Square Register POS system.

This makes Square one of the most comprehensive payment ecosystems available to UK small businesses.

Whether you’re a market trader looking for a low-cost card reader or a retail business needing a complete point-of-sale setup, Square has a device designed for your needs.

Tap to Pay

Tap to Pay allows compatible smartphones to accept contactless card payments without a separate card reader. For businesses just getting started, this can be the lowest-cost way to begin accepting card payments because there is no additional hardware to purchase.

Square Reader

Square Reader is the most affordable way to start accepting card payments.

The compact device connects to a smartphone or tablet and allows businesses to accept contactless, chip and PIN and mobile wallet payments.

It is particularly suitable for:

• Sole traders
• Market traders
• Mobile businesses
• Occasional sellers

The low upfront cost makes it one of the cheapest ways to begin accepting card payments in the UK.

Square Terminal

Square Terminal is a portable all-in-one payment machine with a built-in touchscreen, receipt printer and battery.

Unlike Square Reader, it does not require a separate phone or tablet to process payments.

It is a popular choice for:

• Cafés
• Restaurants
• Tradespeople
• Mobile service businesses

For many businesses, Terminal strikes the best balance between affordability and functionality.

Square Handheld

Square Handheld is a portable point-of-sale device designed for businesses that need to take orders and payments away from a fixed checkout.

It combines payment processing with Square’s POS software, allowing staff to take orders, manage tables and accept payments from anywhere within the business.

Square Handheld is particularly suited to:

• Restaurants
• Cafés
• Hospitality venues
• Events businesses
• Retail stores using mobile staff

Although it costs slightly more than Square Terminal, it offers additional POS functionality that can help improve customer service and reduce queues.

Square Stand

Square Stand is designed for countertop use.

It transforms a compatible tablet into a complete point-of-sale system and works well in retail environments where payments are taken from a fixed location.

Businesses often choose Square Stand when they want a professional checkout experience without investing in a full retail POS system.

Square Register

Square Register is Square’s premium point-of-sale hardware.

It combines payment processing and POS functionality into a dedicated retail checkout system.

Square Register is best suited to:

• Retail stores
• High-volume businesses
• Businesses requiring staff management
• Businesses needing advanced reporting

While the upfront investment is higher, it can be cost-effective for businesses processing larger transaction volumes.

Square Subscription Plans

One of Square’s biggest strengths is that many of its core software features are available without a monthly subscription.

This allows businesses to start taking payments with minimal upfront costs.

Free Plan

Square’s Free plan is the option that most sole traders and small businesses will start with.

There are no monthly subscription fees and no long-term contracts. Instead, businesses simply pay transaction fees when they take card payments.

The Free plan includes:

• Payment processing
• Basic POS software
• Product catalogue
• Inventory tracking
• Sales reporting
• Customer directory
• Basic team management tools

For many market traders, tradespeople, cafés and independent retailers, the Free plan provides everything needed to begin accepting card payments and managing day-to-day sales.

Another advantage is Square’s payout schedule. In most cases, funds from card payments are transferred to your linked bank account on the next business day, although exact timings can vary. This can help businesses maintain healthy cash flow without waiting several days for settlement.

Premium

Square Premium is aimed at larger businesses processing more than £200,000 per year in card payments.

Rather than publishing fixed pricing, Square invites eligible businesses to contact its sales team for a bespoke quote.

Depending on transaction volume and business requirements, Premium customers may receive:

• Custom transaction rates
• Hardware discounts
• Dedicated onboarding support
• Advanced business tools
• Priority support

For high-volume businesses, Premium pricing may offer significant savings compared with the standard pay-as-you-go rates.

Businesses processing more than £200,000 annually may benefit from requesting a Premium quote. At higher volumes, even small reductions in transaction fees can produce significant annual savings.

Online Payment Fees

Square charges different rates depending on how a payment is taken.

📱 Viewing on mobile? Swipe left and right to see the full table.

Payment Type	Fee
In-person (UK cards)	1.75%
Online (UK cards)	1.4% + 25p
Manually entered	2.5%
Invoices	2.5%

For businesses that sell online, the 1.4% + 25p rate can be particularly competitive. However, businesses accepting a significant number of payments from overseas customers should remember that an additional 1.5% fee applies to cards issued outside the UK.

Additional Costs

Square’s pricing is generally transparent, but there are a few additional charges worth understanding.

International Cards

Payments made using cards issued outside the UK incur an additional 1.5% fee on top of Square’s standard processing rates.

Optional Software Subscriptions

Businesses that choose Square Retail Plus, Square Restaurants Plus or Square Appointments Plus will pay monthly subscription fees in addition to transaction charges.

Hardware Purchases

While Square does not charge setup fees, businesses purchasing dedicated hardware such as Square Terminal, Square Handheld or Square Register will need to factor these upfront costs into their budget.

For most small businesses, these are the only significant costs beyond standard payment processing fees.

Square vs SumUp

📱 Viewing on mobile? Swipe left and right to see the full table.

Provider	Standard Fee	Reduced Rate Programme Available?
Square	1.75%	Custom pricing may be available for larger businesses
SumUp	1.69%	Payments Plus subscription can reduce eligible transaction fees

Unlike SumUp, Square does not currently offer a standard subscription that reduces transaction fees for smaller businesses. Instead, most users pay the standard 1.75% rate. Larger businesses processing substantial card volumes may be able to access custom pricing by contacting Square directly.

Square competes on software and business management features, whereas SumUp competes more heavily on simplicity and transaction costs.

Monthly Cost Examples

The amount you pay with Square depends primarily on your monthly card sales and whether you use any paid software subscriptions.

Businesses using Square’s Free plan only pay transaction fees when they take a payment. Optional Retail, Restaurants and Appointments subscriptions may increase monthly costs but provide additional business management features.

For many businesses, monthly processing costs can be estimated using:

Monthly Card Sales × Transaction Fee

Below are some examples based on Square’s standard 1.75% in-person transaction fee.

Who Is Square Best For?

One of Square’s biggest strengths is its flexibility. Unlike some payment providers that primarily target either small businesses or larger merchants, Square offers solutions that can support businesses at multiple stages of growth.

Sole Traders

Square is well suited to sole traders thanks to its Free plan and straightforward pricing structure.

There are no monthly fees on the standard plan, meaning you only pay when you take a card payment. Combined with low-cost hardware such as Square Reader and Tap to Pay, this keeps startup costs to a minimum.

For tradespeople, mobile businesses and self-employed professionals, Square offers an easy way to begin accepting card payments without committing to long-term contracts.

Market Traders

Market traders often need a payment solution that is affordable, portable and quick to set up.

Square Reader, Square Terminal and Tap to Pay all work well in market environments where mobility is important.

The ability to accept contactless payments, Apple Pay and Google Pay can help increase sales while reducing reliance on cash transactions.

Retail Shops

Square is particularly strong for retail businesses.

Unlike some providers that focus purely on payment processing, Square combines card acceptance with inventory management, customer tracking, reporting and point-of-sale functionality.

Retailers can start with the Free plan and upgrade to Square Retail Plus if they require more advanced inventory controls and reporting tools.

For many retailers, Square Stand and Square Register provide a professional checkout experience at a reasonable cost.

Hospitality Businesses

Restaurants, cafés and hospitality businesses are among Square’s core target markets.

Square Handheld and Square Terminal allow staff to take payments throughout the venue, while Square for Restaurants offers tools such as table management, kitchen workflows and advanced reporting.

Businesses that require these features may find the Restaurants Plus subscription worthwhile despite the additional monthly cost.

Growing Businesses

As businesses grow, operational efficiency often becomes more important than achieving the absolute lowest transaction fee.

This is where Square can offer significant advantages.

Inventory management, staff permissions, customer databases, reporting tools and industry-specific software can help businesses streamline operations and scale more effectively.

Businesses processing more than £200,000 annually may also wish to explore Square Premium pricing to determine whether custom rates are available.

Square vs Other Providers

When comparing card payment providers, pricing is only one factor to consider.

Different providers excel in different areas depending on your business requirements.

Dojo

Unlike Square, Dojo does not publish standard transaction rates. Instead, pricing is tailored to each business and may depend on factors such as annual card turnover, industry and transaction volume.

Dojo may appeal to businesses looking for:

• Bespoke pricing
• Next-day payouts
• UK-based customer support
• Extensive EPOS integrations
• Hospitality-focused features

Businesses processing higher card volumes may find Dojo’s pricing model more competitive than flat-rate providers, although a personalised quote is required to compare costs accurately.

Read our complete Dojo Fees UK guide.

Zettle

Businesses may also wish to compare Zettle (PayPal Point of Sale). Zettle offers simple flat-rate pricing and close integration with PayPal, while Square focuses more heavily on advanced POS software, inventory management and business tools. Read our Zettle Fees UK guide for a detailed comparison of fees and hardware costs.

Is Square Good Value?

Overall, the fees Square charges can represent excellent value for many UK businesses.

While it is not always the cheapest payment provider on a pure transaction-fee basis, pricing is only part of the overall picture.

The Free plan includes significantly more software functionality than many competing providers, helping businesses manage inventory, track sales and gain valuable insights without additional monthly costs.

This can make Square particularly attractive for:

• Retailers
• Cafés and restaurants
• Service businesses
• Appointment-based businesses
• Growing companies

Businesses that simply want the cheapest possible card processing may find alternative providers more attractive. For example, SumUp offers a slightly lower standard transaction fee and an optional Payments Plus subscription that can reduce eligible in-person transaction fees further. See our full SumUp Fees UK guide for a detailed breakdown of pricing and potential savings.

However, businesses that value software, reporting and operational efficiency will often find that Square’s additional functionality more than justifies the slightly higher fees.

Overall, Square offers one of the strongest combinations of payment processing, business software and scalability available to UK small businesses. While it may not always be the lowest-cost option, many businesses find the additional tools justify the difference in fees.

Frequently Asked Questions