For decades, Australians have ended a big evening out with a flourish of the pen. But on August 1, signatures will be abolished from credit cards, infuriating restaurateurs who say costs will soar while tips plummet.

Bar, restaurant and cafe owners are "very worried" the mandatory shift to PIN-only credit and debit card authorisation will increase business costs, make tipping awkward and see bar patrons escape without closing off hefty tabs.

Erez Gordon at his restaurant Bishop Sessa Credit:Brendan Esposito

John Hart, head of Restaurant and Catering, said owners, who for years got by with one payment terminal, were being forced to obtain two or three more wireless ones to allow diners to pay at their table.

“Those range from $30 to $60 a month," he said. "Then there’s the cost of re-engineering things so they can get those terminals out to the tables in a way that doesn’t inconvenience the customer."