Senior UK bank executives will meet this week to begin creating a national alternative to Visa and Mastercard.
The project aims to protect the economy if US-owned payment systems are disrupted.
The meeting will be chaired by Vim Maru of Barclays and funded by major City institutions.
The government supports the plan, which has been discussed for years but gained urgency recently.
About 95% of UK card payments run through Visa and Mastercard.
Executives warn that losing access would severely damage daily commerce in an increasingly cashless economy.
Sanctions that shut the networks in Russia showed how quickly consumers can lose access to money.
The new system, known as DeliveryCo, will create a domestic payments rail to add resilience.
The Bank of England is designing the technical framework, with launch expected around 2030.
Major banks including Lloyds Banking Group, NatWest and Santander UK are involved.
Visa and Mastercard are also participating and say they welcome competition.
Officials present the move as a stability measure rather than a political response.
Supporters argue the UK needs its own sovereign payments option regardless of global tensions.
