What the UK Copper Switch-Off Means for Your Payment Systems
Modern payment systems rely on reliable connectivity. Every transaction depends on stable telecoms infrastructure. As the UK moves away from copper networks, this dependency is becoming critical. For businesses using phone-line terminals, this is a key moment to review payment performance, cost and resilience.
Openreach is replacing copper PSTN infrastructure with modern digital IP services across the UK
Estimated increase in copper service costs from April 2025 until full retirement in 2027
Still using copper-dependent payment terminals that may be affected by network retirement
What Is the Copper Switch-Off?
Openreach, the UK's primary telecoms infrastructure provider, is replacing the legacy Public Switched Telephone Network (PSTN) with digital IP-based services. This programme — already underway across several regions — will eventually affect every business and household currently relying on copper-based telephone connections.
- Traditional landlines are being replaced with digital alternatives
- Voice Over IP (VoIP) technology is required for telephone services
- All copper-based systems — including many payment terminals — must upgrade to remain operational
Impact on Payment Terminals
Many businesses across retail, hospitality and professional trade still use PSTN-connected payment terminals. As the copper network is retired, these terminals face operational risks.
- Slower transaction processing times compared to modern IP connectivity
- Less reliable connections leading to declined or incomplete transactions
- Full dependency on copper infrastructure that is being progressively retired
- Potential terminal failure as network support is withdrawn
It is worth noting that many payment issues currently attributed to providers are, in fact, caused by connectivity problems. As the copper network degrades ahead of retirement, these issues are likely to become more frequent.
More Than a Technical Upgrade
For most businesses, the copper switch-off is being treated as a simple infrastructure replacement. In reality, it represents a natural and important review point. Businesses are already engaging with telecoms providers, reviewing supplier relationships and committing capital to infrastructure investment. This is the ideal moment to assess payment cost, performance and resilience at the same time.
A joined-up approach — combining telecoms and payment optimisation consultancy — allows businesses to make strategic improvements across both areas without duplicating effort or disrupting operations separately.
Industry Perspective
The copper switch-off is not just a telecoms upgrade — it is a rare opportunity to reassess how payments are structured, costed and performing.Ian Dinning, Payment Lynk
We’re seeing many businesses treat the switch-off as a simple replacement. In reality, it’s an opportunity to upgrade to resilient connectivity that underpins critical systems like payments.Alicia Todd, Fuse Telecom
Cost Pressure
From April 2025, businesses still on copper services may see pricing increase by approximately 20% every 90 days as Openreach accelerates migration ahead of the 2027 retirement deadline. This creates growing financial pressure on businesses that delay action.
Importantly, engaging with the switch-off also creates an opportunity to simultaneously review payment processing costs. Businesses that reduce payment processing fees as part of this programme can offset the cost of telecoms upgrades through payment savings.
The Opportunity
Reduce Costs
Identify fee savings across payment processing, acquiring costs and provider margins through an independent cost review.
Improve Acceptance
Increase the percentage of successful transactions by addressing connectivity issues and optimising payment routing.
Increase Resilience
Reduce the risk of payment downtime by upgrading to modern IP connectivity with appropriate backup solutions.
Future-Proof
Build infrastructure that supports digital payment methods, contactless, and emerging payment technologies.
A Joined-Up Approach
The most effective response to the copper switch-off is a co-ordinated programme addressing both telecoms and payments simultaneously. Two specialist organisations are well placed to support this:
Fuse Telecom
Fuse Telecom supports businesses moving from copper infrastructure to modern IP connectivity. Their team provides specialist guidance on migrating communications systems, ensuring businesses maintain reliable connectivity through the transition.
Visit fusetelecom.co.ukIndependent Payment Advisory
Payment Lynk provides independent advice to help businesses reduce payment processing costs and improve payment performance. Working provider-agnostically, we identify where cost savings, acceptance improvements and resilience gains are available.
Learn more about Payment LynkTogether, this creates a strategic upgrade programme — addressing connectivity and payments in a single co-ordinated effort rather than two separate, reactive responses.
Risks of Acting in Isolation
- Replacing terminals without reviewing payment performance, cost or provider suitability
- Ignoring payment performance issues that are caused or worsened by connectivity problems
- Upgrading telecoms without considering backup connectivity for critical payment systems
- Accepting default suppliers and pricing without independent assessment of alternatives
Related Articles
Top 10 Ways to Reduce Payment Processing Fees
Practical strategies UK businesses can use alongside telecoms upgrades to reduce payment costs.
Read Article Industry InsightWhy Many Businesses Overpay for Card Payments
The common reasons businesses end up paying more than necessary — and how to address them.
Read ArticleFrequently Asked Questions
Will my payment terminal stop working when the copper network is switched off?
Payment terminals that rely on PSTN or copper-based telephone lines may fail as the network is retired. If your terminal connects via a traditional phone line, it is important to confirm with your provider whether it is compatible with IP-based connectivity. Many issues that appear to be provider problems are in fact caused by connectivity changes.
Do I need to change my payment provider when upgrading connectivity?
Not necessarily. In many cases, optimisation of your existing setup — including routing, configuration and pricing — can deliver meaningful improvements without switching providers. However, the switch-off is an ideal moment to conduct an independent review to confirm whether your current provider remains the best commercial fit.
How should my business prepare for the UK copper switch-off?
We recommend reviewing your telecoms and payment infrastructure together. Upgrading connectivity while simultaneously assessing payment performance, cost and resilience allows businesses to address both challenges in a single, co-ordinated programme — avoiding duplication of effort and maximising the commercial benefit.
Where can I get specialist telecoms support for the copper switch-off?
Fuse Telecom specialises in helping businesses move to modern IP connectivity. Their team can advise on the right solutions for businesses upgrading from copper-dependent systems. Visit fusetelecom.co.uk for more information.
Final Thought
The copper switch-off is one of the most significant infrastructure changes UK businesses have faced in a generation. For organisations with payment terminals, it is not simply a telecoms matter — it is a commercial opportunity.
A joined-up approach — combining specialist telecoms support from partners like Fuse Telecom with independent payment advisory from Payment Lynk — helps businesses reduce costs, improve performance and future-proof their operations in a single, well-managed programme.
Review Your Payment Setup Alongside Your Telecoms Upgrade
If you would like to understand how your current payment setup is performing — and whether there are opportunities to reduce costs, improve resilience or increase acceptance rates — Payment Lynk can provide an independent review. A short, no-obligation assessment can identify practical improvements that can be implemented alongside your telecoms upgrade programme.
Request a Free Payment Review