The purchase of iZettle by PayPal has secured the final clearance from the UK Competition and Markets Authority (CMA).

Last May, PayPal first announced plans to acquire Swedish payments firm iZettle in a $2.2bn deal.

However, after the deal’s completion, CMA raised concerns over the deal.

The regulator said that the merger could create competition issues, thereby leading to customers paying higher prices or receiving inferior service.

The regulator now conceded that the consolidation of the two payment players will not result in competition concerns.

The final clearance comes nine months after the deal was formally completed.

The approval permits PayPal to start the process of integration of the products and teams of iZettle.

The watchdog gave the provisional nod to the merger this April.

While provisionally approving the transaction, CMA said that both iZettle and PayPal will face competition from Worldpay, Barclaycard, Square as well as SumUp.

Commenting on the development, PayPal president and CEO Dan Schulman said: “I am pleased our acquisition of iZettle has been unconditionally approved.

“We believe there is huge potential in giving millions of small businesses access to affordable tools to run their business and look forward to working together with the iZettle team to make this a reality.”