The government has announced that “rip-off” card surcharges will be banned from January 2018.

New rules will mean additional card charges – which can sometimes rise to 20% extra for purchasing a flight with a credit card – will be outlawed, following a directive from the European Union.

In 2010, the total value of surcharges was estimated to hit £473 million.

Businesses including takeaway apps, global airlines and online ticket bookings will all be affected by the new rules.

“This is about fairness and transparency, and so from next year there will be no more nasty surprises for people at the check-out just for using a card,” Stephen Barclay, economic secretary to the Treasury said.

“These small charges can really add up and this change will mean shoppers across the country have that bit of extra cash to spend on the things that matter to them.”