Marks & Spencer Adds Klarna Installment Payments Online

Klarna is now available as a payment option at Marks & Spencer for Fashion, Home & Beauty purchases online, the company announced in a London-dated release on October 15, 2026. Shoppers on M&S.com and the M&S app can now pay with Klarna for those purchases, splitting the cost into three equal, interest-free payments with transparent terms and no revolving balance.

Klarna’s announcement describes M&S as the UK’s most trusted retailer, a characterization footnoted to GlobalData’s UK most trusted retailer ranking 2025, and describes Klarna itself as the country’s largest flexible payments provider. Klarna said M&S joins more than 1.2 million merchants globally that partner with the company, a group that includes all of the UK’s major department stores.

“People deserve flexibility without paying interest for it, so our goal is simple: meet them wherever they shop,” said Klarna Head of UK, Ireland & Western & Southern Europe Raji Behal. “M&S is a beloved British icon that brings second-to-none quality and value to millions of shoppers every day. We’re proud to now offer them a transparent way to spread the cost with no interest and a clear end date.”

Katherine Carlson, Director of Financial Services at M&S, said: “At M&S, we are always looking for ways to make it easier for our customers to shop with us. Customers shopping on M&S.com and through our app can now spread the cost in three interest-free payments with Klarna, offering more flexibility in how they pay for the things they love.”

Klarna at the M&S Checkout

Marks & Spencer’s own Ways to pay page describes Klarna as a payment service that lends customers a fixed amount of credit to make purchases instantly and then pay for them in three automatic installments without interest.

At checkout on marksandspencer.com, shoppers choose Klarna as their payment method and are directed to Klarna to log in or create an account and provide Visa or Mastercard payment details. Basket amounts between £30 and £2,000 after any reductions should qualify for Klarna installments, according to the page, though Klarna decides whether a customer is eligible and some products and services may be excluded. Before approving an order, Klarna carries out an affordability and creditworthiness assessment, and the exact installment amounts and dates are displayed for the customer to agree to before the purchase is confirmed.

Per the M&S page, Klarna Financial Services UK Limited is authorised and regulated by the Financial Conduct Authority for carrying out regulated consumer credit activities under firm reference number 987889, and for the provision of payment services under the Electronic Money Regulations 2011 under firm reference number 1021834. The company is incorporated in England under company number 14290857, with its registered office at 10 York Road, London.

Klarna can be used in conjunction with gift cards, loyalty reward vouchers and valid promotion codes and coupons, but not with other payment types. Refunds for Klarna purchases are refunded from marksandspencer.com to Klarna, and M&S cannot provide an exchange or cash refund. When a refund is processed, any upcoming payments to Klarna are cancelled and payments already made are refunded to the card used, though the customer remains liable for installments until the merchant has confirmed receipt of any returned goods.

Pay in 3 Terms and Existing Options

Klarna’s UK Pay in 3 product page states that the first installment is collected when the order is shipped, with the remaining two installments automatically charged every 30 days and no interest or fees when payments are made on time. A late fee is added if Klarna has not been able to collect a payment up to 14 days after an installment is due, with a maximum of one late fee per unpaid installment and no late fee when less than £1 remains. Klarna sends reminders via SMS, push notification and email ahead of that point.

A soft credit check is performed when a customer uses Pay in 3, which Klarna states does not affect the customer’s credit score and is not visible to other lenders. To be eligible, a shopper must be a UK resident, be at least 18, hold a valid card or bank account, and be able to receive verification codes by text. Klarna notes that credit is subject to status and that terms and conditions and late fees apply. Its UK payment range also includes Pay in full, Pay in 30 days, and Financing with 6 to 24 month options.

Klarna joins other installment credit options documented on the same M&S payments page. Clearpay splits an order into four automatic installments made every two weeks on baskets between £30 and £800. PayPal Pay in 3 applies to baskets between £20 and £3,000 but is not offered on baskets containing furniture items or on mobile app orders.