FinancialAdvice.co.uk Logo

Qualified advisers answering your
Financial Questions
call 0800 092 1245

Cashless payments overtake notes and coins

21/05/2015

Payments made using cards, cheques and transfers have overtaken the use of notes or coins for the first time ever, according to The Payments Council.

Cashless payments have surged to 52% as the use of cash by consumers, business and financial organisations fell to 48%. Cash volumes are expected to fall by a further 30% over the next 10 years as moves towards debit cards, contactless and mobile payments drive the move away from cash.

Despite the falling levels, cash remained the most popular method of payment among shoppers and businesses in 2014. A total of 18 billion cash payments were made in 2014, totalling about £250 billion. This was followed by debit card, which totalled 24% of payments and direct debits which totalled 10%.

The Payments Council has predicted that among consumers the majority of transactions will be cashless by 2016. This is because younger consumers are less reliant on cash, and advances in technology.

Bank of England (BoE) chief cashier Victoria Cleland, believes cash still has a long future. The BoE will be bringing in a new £1 coin in 2017 and new types of £10 and £5 notes will entered into circulation in 2016. Cleland said:
"Since I started the job I am seeing a growing demand. I am seeing a 46% increase of notes in circulation. I think the proportion of cash transactions is coming down, but I'm still seeing a fairly stable value of cash transactions."

Need financial advice?



If you have any personal finance questions related to this news article, then please contact our financial advisers. You can get in touch by asking a question online, calling us on 0800 092 1245, or by arranging a visit.


Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:



Latest News

Blogs

Helpful new tax year facts that could affect you and your money


Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.


Read more

Useful Links

Popular Searches

Please Enter More Details

 
Enter More Details
Continue