More than half of UK consumers expect to abandon cash in the next two years

More than half (55%) of UK consumers expect to abandon using cash for shopping in the next two years, according to new research, conducted by Paysafe, a leading global payments provider, in conjunction with Loudhouse, a London-based research agency.

The report, titled Lost in Transaction, looks at attitudes towards to money and consumer buying behaviour, and examines how cash is keeping up with digital payments.

The report compares cross-market transactions between the US and UK, highlighting the trend of mobile wallets and whether cash is still prevalent in the economy. The percentage of people who use mobile wallets in the UK is 24%, while in the US it’s 31% and 16% in Canada. And out of those who stated they use mobile wallets, 82% of UK participants said they would pay for higher priced items using a mobile wallet if limits were raised, compared to 77% of US participants who stated they would.

The most common view about payments trends today shows that spending in cash is on the decline. On average,75% of 18-34 year olds in Canada and the US said that they prefer to shop online rather than going into physical stores.

A fast-paced payments environment with frictionless user experience is taking cash, with various digital payment options emerging so that consumers can spend easily, both online and in stores.

The Lost in Transaction report reveals why attitudes towards payments and purchases are changing, along with market developments, consumer behaviour and mobile trends that are dominating the industry.

Danny Chazonof, Chief Operating Oficer, Paysafe says: “The world is a different place to the one where traditional hard currency was the only option. Today, people shop in new ways. Mobile is a preferred device and physical stores are showrooms as much as they are outlets.”

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