ARCA launches “Let’s Get This Right, Not Rushed” Surcharge campaign
A Blanket ban will lift prices and kill choice for consumers and ravage an already wounded hospitality industry

Sydney, 7 October 2025 — The Australian Restaurant & Cafe Association (ARCA) today launched its “Let’s Get This Right, Not Rushed” campaign, calling on the Reserve Bank of Australia (RBA) to slow down as it considers an outright ban on debit and credit surcharges with a rushed implementation and without understanding the full cost to small businesses. It’s critical that the RBA takes time to ensure that the corresponding cuts to underlying merchant fees don’t lead to increased costs to small businesses from other fees and charges.

The ARCA believes that the RBA is steamrolling through a proposed surcharge ban and trying to fool to the hospitality industry that they will save money-when in fact, the 81% of the hospitality industry that passed on a surcharge will take a “business killing” hit to their P&L from day 1 of the proposed 1 July 2026 deadline to implement any changes.

In a message to consumers-“Don’t let the RBA take away your choice, or you’ll be left with a lot less than you think,” said Wes Lambert, ARCA CEO. “The original proposal to ban debit surcharges was already a burden — but the current proposals goes too far, too fast. If surcharges are banned, prices will simply rise across the board.”

ARCA warns that 81% of restaurants and cafés currently passing on surcharges would be forced to raise menu prices in an already hot inflation environment, with Meals Out & Takeaway up 3.3% year-on-year in August 2025 — the strongest annual rise in the past year.

“We urge the Government to encourage the RBA to slow down. We are calling on the RBA to pause the review so industry and payment providers can fully work through the consequences,” Mr Lambert said. “Even the RBA Governor has acknowledged consumers ultimately pay — so where exactly will the $1.2 billion in ‘savings’ come from?”

Despite its election promise, the Government has at least 2.5 years to make that a reality. Why rush, costing business their livelihoods and slugging all consumers, even those that pay cash, with a certain increase in already white-hot menu prices?

A blanket ban means more expense for every Australian with Less choice: Cash payers and low-cost debit users lose the option to avoid fees, Higher prices for all: Fees get buried in menus, forcing everyone to subsidise high-cost cards, And a race to the top: International experience shows effective costs can exceed 2% where surcharges are banned.

Let’s Get This Right, Not Rushed

Media contact:
Wes Lambert, CEO

Australian Restaurant & Cafe Association
E: wes@arca.org.au | P: 0488579888