Over a third of Brits believe there will be a cashless society UK within the next ten years.
According to research from Equifax, 37% of Brits think the UK will be cashless in the next decade.
In addition, over half (53%) of 16-34 year olds believed that Britain will be reliant on digital and card payments by 2028. On the other hand, only 22% of those aged 55 or above agreed that they would see a cashless society UK.
Cash still maintains relevance. Respondents to the survey still considered coins to be their top payment choice for vending machines (60%), parking meters (57%), charity donations (53%), and buses (52%). Notes were the preference for taxis (42%).
Usage of cash has not decreased by much. 46% of people use cash less often than they did three years ago which 54% use cash either as or more often. Almost three in five (59%) think shops, cafes or market stalls that only accept cash are convenient.
Sarah Lewis, Head of ID and Fraud at Equifax, said: “We’re in the midst of an exciting smart payments revolution. We can pay for our lunch with our watches and passers-by are now able to donate to buskers via contactless. This growth of new payment technologies is drawing us closer to a cashless society, but long standing preferences for cash remain in certain situations, particularly among older consumers.
“The shift to digital payments in the new economy raises important questions about the role of different payment methods, and highlights the need to balance the convenience people want with security. As digital and online payments continue to grow, so too does the associated fraud. It’s vital that new technology is maximised to give people the reassurance they need as they change the way they spend.”
In addition, Verifone has found that more than a quarter (29%) of UK SMEs now give their customers the option to pay via an app in-store. This also extends to 17% of microbusinesses.
Cashless society UK – small and medium-sized businesses
More than a third (38%) of small- and micro-sized businesses, as well as 44% of medium-sized businesses, conduct payments with tablets and other digital devices.
Nathan Gill, VP and head of solutions at Verifone, commented: “Society has become familiar with the seamless use of apps and social media. Today, consumers expect to pay with the same speed and convenience as with these other aspects of their lives, but they also want other options at the checkout that extend beyond a traditional transaction – the ability to donate to charity or delay the debit from their account, for example. This demand from consumers is making retailers re-think their approach to payments, and it’s encouraging to see that businesses in the UK are now adjusting their technology to meet this demand.”
Beccy Stamp, director – research & consulting at Verve, added: “The cost of payment solutions and speed of receiving funds is certainly key. It’s encouraging to see from this research that UK small businesses are also looking towards the future, calling for payment solutions that offer the flexibility to adapt to the changing needs of the retail environment and are able to provide customers with digital solutions that are both seamless and secure.”