A cashless society remains a “distant reality” in Britain, as two thirds of the population still use notes and coins at least five times a month.
Cash remains the second most popular form of payment and is used significantly more than digital wallet apps such as Apple Pay and Google Pay, according to a new survey by consultancy Accenture.
It found that 63pc of adults use cash at least five times a month, with only debit cards used more frequently as a payment method. Three quarters of adults use debit cards more than five times a month.
Cash and debit cards were the dominant means of payment for everyday in-person retail and services purchases, such as for food shopping, transport and clothing. However, credit cards were preferred for bigger-ticket items including appliances and travel.
Economic factors are driving more people away from credit cards, the research also found, as consumers look to reduce credit interest. The survey of more than 3,000 UK adults found that two out of 10 credit card users were considering switching to other payment methods, such as cash or debit card, to cut interest payments.
The research also found that British adults are much more likely to use contactless methods to make purchases than the rest of the world.
Some 83pc tap their debit cards when paying for goods and services, compared to the global average of 58pc.
It was far higher than the United States at 26pc, and only Australia, also at 83pc, matched the UK. The survey also found that 7pc said they would use biometrics – using fingerprints for security – as their primary payment method if it was available by 2025.
Sulabh Agarwal, the global payments lead at Accenture, said: “The UK’s transition to becoming a ‘cashless society’ has been spoken about as an inevitability for years.
“However, cash remains a crucial method of payment for most UK consumers, who still rely on its accessibility and convenience and ability to budget.”
He added: “Digital solutions are not right for everyone or every situation, therefore a truly ‘cashless’ society will remain a distant reality.”
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