Luxury brands company LVMH has launched legal claims against payment processors Visa and Mastercard.

According to The Telegraph, the Bernard Arnault-owned company has issued lawsuits against Visa and Mastercard in the High Court.

The report notes that while details of the case have not been made public, they are said to be linked to the firm’s longstanding dispute with the payment processors over interchange fees.

Interchange fees are paid by retailers to banks when they accept card payments via the processors, but companies have long argued that the fees are anti-competitive and ultimately drive up prices for consumers.

Interchange fees have been capped at 0.2 per cent and 0.3 per cent for debit and credit cards respectively since 2015.

Other companies ranging from Vodafone to Ocado have raised separate complaints against Visa and Mastercard, with arguments set to be heard by a Competition Appeal Tribunal in November.

The pair also face a consumer class action claim estimated to be worth around £10 billion.

Visa and Mastercard have defended the fees they charge on purchases, arguing that the amount is regulated and recognised by financial authorities who recognise the value of their services.

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