Particle.news
Download on the App Store
6 ARTICLES
·
2h ago

UK Payments Pivot: Mobile Wallets Hit Majority, Cash Drops to 9% as BNPL Use Jumps

Regulators are preparing stricter rules for buy now, pay later to address risks from its fast expansion among older shoppers.

Image
Image
Britain is moving towards being a cashless society
Image

Overview

  • UK Finance reports 57% of adults were registered to use mobile wallets in 2024, with 50% using mobile contactless payments at least monthly.
  • Mobile banking became the primary way to access accounts, used by 75% of adults and overtaking desktop for the first time.
  • Cash accounted for 9% of payments, with 30% of adults living largely cashless; 16.9 million used cash once a month or less and 1.2 million mainly used cash.
  • BNPL usage rose from 14% to 25% of adults year over year, with uptake among 55–64-year-olds more than doubling to 21%, and the FCA outlining plans for formal regulation that could include affordability checks.
  • The average BNPL purchase was £114, fashion made up 46% of BNPL transactions, Klarna, Clearpay and PayPal dominated usage, and Link and Cash Access UK stressed resilience and cash-access needs.