Barclaycard has extended its contract to offer contactless payment solutions to Transport for London (TfL) for another seven years, with an option to extend the agreement for a further three years.
TfL and Barclaycard have been working together for more than 20 years, which has seen the two companies work collectively to transform how users pay for travel across the UK’s capital city.
In September 2014, the contactless payments were rolled out on TfL that proved a driving factor in facilitating faster, easier and safer travel across London.
As TfL’s merchant acquirer, Barclaycard has processed more than 278 million contactless transactions – driven by journeys made on bus, Tube, tram, DLR, London Overground, TfL Rail, Emirates Air Line, River Bus and most National Rail services in London daily.
Under the terms of the agreement, Barclaycard will support the roll out of the new Elizabeth line while assisting to launch contactless payments for train travel beyond London.
According to Barclaycard, contactless transactions currently represent almost four in ten pay-as-you-go journeys on London’s buses, Tube and rail services, with the number continuing to grow.
Barclaycard collaborated with TfL to develop a unique solution to facilitate contactless payments on London’s transport. At the end of the day the cost of journeys are aggregated and checked against specially designed transit fraud and risk rules.
After transactions are processed through Barclaycard’s transit enabled systems, the customer is billed with a single amount while also price-matching the Oyster system.
Transactions can be clearly identified that appear on the cardholder’s debit or credit card statement and, unlike Oyster, no topping-up is needed.
Transport for London chief technology officer Shashi Verma said: “Contactless payments have completely transformed the way people pay for travel in London, with more than 800 million journeys already made and around 1.8 million journeys being made every day.
“This new 10-year contract will help ensure these numbers continue to grow while also providing support to allow us to develop our ticketing system even further.”