Revolut Launches Facial Recognition Payments and 0% Merchant Fees in UK High Street Pilot

Revolut has launched "Revolut Pay with Smile," the UK’s first in-store facial recognition checkout system, debuting via a pilot at Kiss the Hippo cafés. For fintech professionals, this represents a significant pivot into biometric point-of-sale hardware and merchant services, utilizing 0% processing fees to challenge the overhead costs traditionally associated with hospitality payments.

What was announced

The new system, Revolut Pay with Smile, allows customers to authenticate and complete transactions using facial recognition technology. The service is being piloted exclusively at select Kiss the Hippo locations in London—specifically Bloomsbury, Soho, and Chelsea—from 24th to 26th September. To use the service, customers must opt-in via the Revolut app, which matches their face against the selfie ID checks performed during their initial account registration. Transactions are secured with end-to-end encryption, and personal biometric data is never stored by the merchant.

The technology is powered by Revolut Register, a new modular, two-screen point-of-sale (POS) hardware system. This hardware includes a built-in eSIM backup to prevent terminal outages, a common issue that Revolut claims costs independent merchants an average of £2,495 in lost revenue annually. By offering 0% processing fees on all "Pay with Smile" transactions, the bank aims to alleviate the financial burden on independent venues, which typically spend between £875 and £950 per month on processing and infrastructure.

During the three-day pilot, Revolut customers can access a special menu featuring £1 speciality coffees and earn triple RevPoints on their purchases. For merchants, the Revolut Register is being offered at a 50% discount, priced at £349.50 + VAT, with this promotional rate available for first-time terminal sign-ups until 31st December 2026.

"With over half of Brits reporting delays or failures due to merchants dropping internet signals, checkout friction is driving customers out the door. To solve this, we're deploying Revolut’s full technological ecosystem to reinvent the mechanics of the hospitality industry and give consumers the payments experience they deserve. By combining high-performance processing with facial recognition technology, we’ll replace outdated, fragmented tills with a hyper-efficient checkout experience designed to solve consumer and merchant pain points."

Alex Codina, General Manager of Merchant Payments at Revolut Business.

The companies involved

Revolut is a UK licensed bank and a dominant force in the global fintech landscape. Since its inception, it has expanded from a multi-currency card provider into a comprehensive financial "super-app," offering everything from crypto trading to business banking. The company has a massive presence in the UK market and has been a frequent subject of industry analysis, with 242 previous reports by FF News documenting its growth and regulatory milestones. Its move into proprietary POS hardware marks a direct challenge to established payment processors.

Kiss the Hippo Coffee is a London-based speciality coffee roaster known for its focus on sustainability and high-quality hospitality experiences. Led by Managing Director Alex Damgaci, the company operates several high-footfall cafés across the capital. As the launch partner for Revolut’s biometric payment system, Kiss the Hippo is the first merchant to integrate the Revolut Register hardware into its daily operations, testing the system's ability to manage floor operations and banking in a live environment.

What FF News has reported before

FF News has closely followed Revolut’s trajectory as it transitions from a disruptive startup to a major banking institution. In September 2026, we covered how Revolut Eyes Dual Listing in London and New York: A Major Boost for the City’s Fintech Status, a move that signaled its global ambitions. We also reported on its geographical expansion when Revolut Targets Swiss Banking License with CHF 150M Investment Plan. Additionally, the bank’s standing among consumers was highlighted in our report on how Aviva and Chase Bank Lead August’s Smart Money Risers as Customer Trust Rebounds, and its technological integration was noted in Leading European Financial Services and Insurance Firms Deliver Impact with OpenAI.

What this means

This announcement signals a shift in the "POS wars," moving beyond simple card readers to integrated biometric ecosystems. By offering 0% processing fees, Revolut is putting immediate pressure on established players like Square, SumUp, and Zettle, who rely on transaction margins. The success of this pilot will likely hinge on consumer willingness to trade biometric data for a faster checkout experience. Furthermore, the integration of eSIM technology directly into the register addresses a critical hardware vulnerability—connectivity—that has long plagued the hospitality sector. This move suggests that the future of merchant services lies in hardware that unifies banking, loyalty, and connectivity in a single terminal.