New Survey Highlights Shift in UK Consumer Payment Preferences

As the digital landscape evolves, UK consumers are steering towards cashless transactions. With the incremental rise of contactless payments and digital wallets, there’s a noticeable change in how everyday consumers manage their finances. A recent nationwide survey conducted by SumUp tapped into these shifting dynamics, providing valuable insights for Small and Medium Enterprises (SMEs) keen on aligning with consumer preference.

Preferred Payment Methods Among UK Consumers

The payment landscape has experienced a radical transformation over the past few years. With an array of options from contactless cards to mobile wallets, convenience, security, and flexibility have become essential criteria for consumers. Among the methods available, which stand out as the front runners for UK’s shoppers?

Notably, a strong 62% of respondents indicated a preference for using debit or credit cards, underscoring the sustained allure of traditional card-based payments. Following closely, 18% lean towards mobile payment options like Apple Pay or Google Pay, which reflects a significant trend toward digital wallets. Age plays a role in these preferences, with 36% of those aged 18-24 and 28% of individuals between 25-34 opting for mobile payment methods. This suggests a growing comfort with technology among younger consumers. Intriguingly, only 11% of surveyed individuals still prefer cash—a telling point emphasizing the transition to digital formats.

Emerging payment methods are also on the scene, with 4% preferring Buy Now, Pay Later services and a mere 1% favoring more trendy options such as cryptocurrency and smart wearable payments.

Factors Driving Changes in Payment Preferences

Finding that over half of survey participants (51%) altered their payment methods in the past year, the factors driving these shifts are as varied as the choices themselves. A clear standout is the increasing convenience associated with digital payments, which influenced 22% of consumers to make the switch.

Moreover, as more retailers and transport services began utilizing tap-to-pay technology, 15% of consumers acknowledged they reduced their cash usage. Options like Buy Now, Pay Later are also gaining traction with 9% of respondents appreciating the flexibility they provide to manage payments. Additionally, subscription-based services have attracted 4%, making regular purchases like groceries much simpler through automated processes.

Cash Usage: Still Relevant or Phasing Out?

Despite the evident trend towards digital payments, a segment of consumers—25% to be precise—express a dislike for cash transactions. Surprisingly, 19% found it inconvenient when businesses do not accept digital methods. While a significant minority, 11%, actively avoid such establishments, there are still those who perceive cash transactions to have their perks.

Three-quarters of consumers (75%) still entertain cash as an option in specific circumstances, attributing value to the greater control it offers over spending—26% found it preferable due to this control, while 22% cited quickness and convenience. Additionally, 17% enjoy the tactile nature of physical cash. Interestingly, 22% report only using cash received as gifts, indicating that certain occasions still spur cash utilization. Other motives for continuing cash use include the desire to evade digital transaction fees (12%) and concerns regarding security in digital payments (8%).

Consumer Sentiments Towards Businesses Lacking Digital Payment Options

With a prevailing preference for digital transactions, how do UK consumers view businesses sticking to cash-only models?

While 11% of the surveyed group consciously steer clear of cash-only enterprises, 19% consider them inconvenient. However, 24% of respondents do believe that cash-only businesses exist for valid reasons. Meanwhile, quite a few (39%) claim indifference towards the payment policies of establishments, often carrying cash as a backup.

Among those with a preference for cash-only options, they represent an 8% minority, illustrating that while the trend sways digitized, traditional practices still retain niche markets.

Changing Payment Trends in London

London, often viewed as a bellwether for trends across the UK, showcases distinct nuances in payment preferences. Leading the charge, 61% of Londoners showed a preference for cards. However, the percentage that chooses mobile payment options rises slightly to 20%, revealing a faster adoption in urban settings compared to the broader national statistics.

Notably, 66% of Londoners revealed they altered their payment habits in the past year, with 28% making the move towards more digital options, alongside 14% leaning towards Buy Now, Pay Later services. Additionally, 14% of respondents proclaimed they now use cash less frequently, likely influenced by the increasing availability of digital payment options among retailers.

While some Londoners maintain their cash habits as a backup, consumer sentiment increasingly supports the shift toward digitized payments. Strikingly, 26% believe businesses should adapt to contemporary payment systems, while 19% prefer transactions with businesses offering digital solutions.

Corin Camenisch, Marketing & Growth Lead at SumUp, summarized the findings aptly—indicating that cash transactions are in gradual decline, particularly among younger generations, while innovative payment methods like digital wallets are on the rise.

Methodology of the Survey

The survey involved 1,500 adult participants from various regions across the UK, aiming to comprehend their payment options, distinct concerns associated with different methods, and their stance on businesses’ payment acceptance trends. It was conducted in March 2025.

In conclusion, with the digital payment landscape rapidly transforming consumer experiences, SMEs are urged to adapt their practices to remain relevant. GetTransport.com serves as a platform aligning perfectly with these evolving needs, offering a vast network for affordable, global cargo and delivery solutions tailored to meet diverse demands—from office relocations to large item deliveries. When planning your next transport needs, remember that GetTransport.com simplifies the logistics process, ensuring both convenience and reliability. Book your cargo transportation with GetTransport.com сегодня!