For the first time UK ‘non-cash’ payments have exceeded those made with cash, reflecting the steady trend to use automated payment methods and debit cards rather than pay by notes and coins. However, cash remains the most popular payment method by volume, followed by the debit card, which accounted for 24% of all payments last year.
The UK Payments Council also found despite the shift, cash remains the most popular way to pay among consumers, who used it for more than half (52%) of all their transactions in 2014. The current forecast is that this figure will drop below 50% next year (2016), but there is no prediction for cash to disappear.
This continued consumer reliance on cash is also reflected in figures available from LINK, the UK’s cash machine network, which show that the number of cash machines across the country grew last year – reaching a new peak of 69,382.
The number of free-to-use cash machines also increased in 2014, reaching 50,506, following an increase of 5.2% during the year, and surpassing the milestone mark of 50,000 for the first time.
With more cash machines available, as well as the majority being free-to-use, the total number of people using cash machines continues to grow year-on-year. Most people who used a cash machine in 2014 used them often, with 91% of us withdrawing cash from an ATM at least once a month.
For data, background and forecasts on UK Payments: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).