Card and contactless payments continued to rise in 2019, with card payments accounting for more than half (51%) of all first-time payments, according to UK Finance's latest UK Payment Markets report. Debit cards were the most used transaction method in the UK with 17 billion payments, of which 7 billion were contactless. Consumer credit card use also increased in 2019, up 7% to 3.300 billion payments, partly due to an increase in contactless credit cards issued last year, with 1.300 billion credit card payments without contact made in 2019. The number of contactless payments on debit and credit cards increased 16% to 8.600 billion. This continued shift by consumers to these payment methods may have helped prepare customers for the changes they are facing due to the coronavirus lockdown. Trends in payment habits may also have improved foreclosure preparedness, with supermarkets being the most popular place for contactless spending in 2019. Additionally, 48 million UK adults bought goods and internet services in 2019, online shopping continues to increase at all ages. groups with nearly four-fifths of those 65 and older (79%) shopping online in 2019. Cash payments continued to fall in 2019, falling 15% to 9.300 billion payments, though cash remains the second-largest payment method. most popular payment in the UK after debit cards. Changing retail trends, including the increased use of online shopping and the increased acceptance of cards by retailers, have been a factor in both the decline in the use of cash and the increased use of card payments. In addition, consumer preferences are changing in favor of using cards to make payments. The number of people who did not use cash or used it only once a month more than doubled in two years (3,4 million in 2017 and 7,4 million in 2019). Young people are leading the way in this, although there are people of all ages who rarely use cash, seven percent of those 65 and older used cash once a month or less frequently in 2019.
Numerical revolution
Remote banking has increased in all age groups in recent years. More than four-fifths of adults used online banking, mobile banking or telephone banking in 2019, up from three-fifths of the adult population in 2009, making 2019 the first year that consumers made more than 98 billion of remote bank payments. While 2019% of the population had a debit card in 19, the industry recognizes that some people want and still need access to cash, and is committed to ensuring that access cash remains free and widely available to those who still need it. they need. . The Community Access to Cash Pilots initiative was introduced as an industry measure to improve access by helping local areas develop and support solutions that work best for them. For vulnerable customers, UK Finance has also issued guidelines on safe payments during foreclosure. Stephen Jones, CEO of UK Finance, said: "An increase in payment methods coupled with changes in people's payment habits may have unintentionally contributed to preparing the country for the impact of Covid-19 on their daily lives. With consumers already using contactless payments and remote banking more than in previous years, these technological advances have made it possible for many people to shop and make payments securely from home or store.The impact of Covid-2019 may accelerate these habits for many customers, however we are fully aware that not all customers have digital technology, so we are working hard to make sure people have access to money and everyday banking services available to help the country get through these times. Natalie Ceeney CBE, said: "In 15 we saw a further drop in the use of cash by 9%, although the fact that more than 2019 billion cash payments were made in 19 shows how much people still depend on it. This UK Finance data was taken before the impact of Covid-19, which accelerated the transition to digital payments and called into question the sustainability of treasury infrastructure. It is essential to ensure that everyone is included in our economy, and until digital payments work for everyone, we must maintain the ability for people to access and pay with cash. " The Covid-2020 crisis has made analysis of payment trends and forecasts particularly difficult as its impact on consumer and business behavior is still unclear. UK Finance says it will oversee the next phase of the crisis to determine what impact, if any, the experiences of XNUMX have had on consumer preferences for how they pay for things.