Contactless spending for 2016 already at record - Banking - News - Moneyfacts

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Contactless spending for 2016 already at record

Contactless spending for 2016 already at record

Category: Banking

Updated: 23/08/2016
First Published: 23/08/2016

Contactless spending has been enjoying a surge of popularity for some time, but it's been seriously ramping up in recent months – in fact, spending on contactless cards in the first half of the year has already outstripped the total for the whole of 2015.

The figures, from The UK Cards Association, show that around £9.27bn was spent using contactless methods between January and June this year, already far higher than the total contactless spend for 2015 of £7.75bn.

The number of contactless transactions is also at record levels, standing at 1.1bn for the first six months of the year, up from 1.05bn for the whole of 2015. Indeed, contactless card payments accounted for 18% of total purchases in June, up from 7% a year previously, showing how rapidly this form of spending is becoming the norm.

"Contactless cards are firmly entrenched as the preferred way to pay for millions of consumers, who expect to be able to use them for everyday purchases," said Richard Koch, head of Policy at The UK Cards Association. "We anticipate that the use of contactless cards will continue to increase, particularly as charities and transport operators outside London recognise the benefits this technology can bring."

Of course, card spending as a whole is also continuing to rise, as consumers migrate towards this form of payment for smaller as well as large transactions. In total, card spending reached £53.1bn in June, an increase of £0.4bn from May and up 4.9% from the £51.8bn recorded in June 2015. Online spending is also helping to fuel this growth, with £12.6bn being spent online in June this year, up from £11.2bn a year ago.

Are you flashing the plastic more regularly than before? If not, what's stopping you? The rise of contactless means it's more convenient than ever to pay for low-value purchases, with there being no need to rummage in your bag for cash or fret about forgotten pin numbers. It's quick, simple and hassle-free, so if you've yet to experience it, speak to your provider to take advantage.

What next?

Are you searching for a current account that can give you contactless and more? From high interest deals to rewards and added incentives, check out our current account best buys to find the deal that's right for you.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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