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Fee is usually paid by business, so you pay £50, but the business got just £49. Most business calculate this fee to the price of the product/service, like they do with rent, electricity, gas, employee wages etc...

Gotcha, but it sounds like it’s more of a tax on businesses than customers, though to be fair it’s the same thing depending on how you look at it.

It would still cost me £50 if I had paid in cash.

Yes. The consumer just tries to max the cashback rewards (some cards are 2% on all transactions). Visa tries to max merchant coverage - so all the merchant customers are using visa. The merchant (should) try to minimize card usage for tax purposes.

You get billed the same amount, but the transaction fees that a merchant pays on a transaction varies with the card type, brand, tier, and various other factors.