Europe enters a new payment era: A2A and sovereignty paving the way for success

Ludovic Francesconi, Chief Member and Strategy Officer of EPI Company, delves into Europe’s efforts to achieve payments sovereignty and Wero’s role in this development.

European payments sovereignty is a major topic. In practical terms, how can this be achieved, and what is the expected impact for merchants and PSPs?

European payments sovereignty means giving European consumers, merchants, and financial institutions alike the option to rely on a home-grown payments infrastructure that is secure, competitive, and aligned with European values. Practically, this starts with building a pan-European scheme based on instant account-to-account (A2A) payments, one that isn’t dependent on international card schemes or third-country platforms, and protecting consumers’ data.

For merchants, this promises fairer pricing, easier integration, and a unified user experience across Europe. For PSPs, it means reducing reliance on external players, regaining margin, and unlocking new service opportunities. Sovereignty doesn’t mean closing the door to global providers, but rather ensuring Europe finally has a strong alternative.

What technical and regulatory building blocks must be in place for A2A schemes to scale across Europe?

At the technical level, pan-European A2A payment schemes need three things: interconnectivity (between banks, acquirers, and gateways), standardisation (mainly in the acceptance domain), and real-time settlement capability (via SCT Inst).

On the regulatory side, there must be alignment around equal treatment of A2A payments compared to card payments (especially for intra-EU cross-border transactions), digital identity frameworks, and consumer protection. But critically, scaling also depends on commercial alignment: harmonised fee structures, consistent user experience, and a strong acceptance network. Regulation can unlock the rails, but scale comes from a broad ecosystem commitment and consumer education to bring to light the added benefits of A2A payments.

What lessons can be drawn from other A2A models to improve pan-European solutions?

Local A2A models like iDEAL, Payconiq, or Swish have shown that success hinges on three factors:

1. strong domestic adoption and brand trust,
2. close collaboration between banks and merchants,
3. seamless user experience.

The challenge in going pan-European is unifying these strengths without duplicating infrastructure or creating new complexities that would make the parties involved regret the previous model. That’s why EPI’s approach has been to integrate rather than replace, reusing what works and scaling it with a shared architecture. One lesson is clear: A2A can’t be just a ‘bank thing’; success requires joint merchant and PSP onboarding from day one.

EPI has integrated legacy domestic schemes into Wero, consolidating user bases and infrastructures. What are the benefits and challenges of moving from fragmented national systems to a unified A2A scheme?

The benefits are substantial: one scheme means one technical integration for PSPs, one wallet for users across Europe, and simplified operations for merchants. It also means faster innovation cycles, common fraud prevention, and greater leverage in shaping Europe’s digital payment future.

But moving from fragmented national solutions to a unified A2A scheme doesn’t come without challenges. Migration needs to be phased, with zero disruption. Each legacy system has its nuances, from user expectations to regulatory constraints. And we must overcome the perception that national solutions are ‘good enough’. In addition, the introduction of a new service will raise an important question: why replace something that meets most needs?

Reassuring users about the capabilities while being ambitious about the new services to come can prove crucial to getting people on board. That’s why we’re focused on delivering immediate value, starting with P2P and scaling quickly to retail use cases, to earn trust market by market.

How is EPI contributing towards European payments sovereignty?

EPI is delivering the infrastructure, the scheme, and the wallet that together create a sovereign European alternative. With Wero, we’re not just launching a new payment option; we’re building the foundation to give Europe control over its payments.

Our model brings together over 16 major European banks and PSPs with leading positions across the region. It’s designed to comply with and evolve alongside EU regulatory priorities, from instant payments to data privacy and Open Finance. And it’s built to serve both people and businesses, with fairness, functionality, and European independence at its core.

Thanks to this strong framework, we’re heading towards an ambitious roadmap:

• to bring the idea of an ‘all-in-one’ solution to life;
• to truly combine standard and most expected payment use cases, including peer-to-peer and commercial transactions online and in-store;
• to add new features such as subscription management, integration of merchant loyalty programmes, and user benefits;
• to go beyond what has been achieved so far and have the most convenient and complete offer.

Convenient for consumers and unlocking new growth opportunities for merchants at the same time – that is part of the promise, of the reclaimed autonomy benefits we can and want to offer to the European community. Europe’s sovereignty in payments will help reclaim control over our data, make a better and protected use of it, and create a new balance with a fair pricing model, as well as true protection for both merchants and consumers. That’s what sovereignty is truly about: helping everyone be in control.

 

This editorial piece was first published in The Paypers' Account-to-Account Payments Report 2025, which features insights into global trends, key players, partnerships, and the next phase of the A2A evolution. Access the full report to understand where the A2A payments ecosystem stands today and what’s next.

 

About the author

Ludovic Francesconi is Chief Member & Strategy Officer at EPI Company, leading member relationship and development, as well as geo-expansion, market intelligence, and strategy efforts. He has been supporting the European Payments Initiative since January 2021, aiming to build an independent European solution and connecting Europe’s payment industry.

 

 

About EPI Company

EPI (or European Payments Initiative) is a European-led consortium founded by 16 European banks and PSPs, committed to delivering a unified mobile payment service to all European companies and citizens through the Wero wallet. EPI intends to enable European consumers to carry out all types of retail transactions easily, via a resolutely sovereign digital wallet, based on an instant payments framework (SCT standard), A2A methodology, and carrying all payment use cases. Access our websites here:

EPI: https://epicompany.eu/

Wero: https://wero-wallet.eu/