meta_id 3416799

On August 19, 2026, UK Finance published its Payment Markets Report for 2025, presenting comprehensive data on evolving payment habits across the United Kingdom. The report reveals that total payment volumes reached 49.7 billion in 2025, representing a two percent year-on-year increase. Debit cards remain the UK's most-used payment method, accounting for more than half of all payments, while card payments overall represent 64 percent of all transactions. Contactless payments—whether made using physical cards or mobile devices—rose by two percent to 19.2 billion transactions, representing 39 percent of all payments. Mobile wallet adoption continues to accelerate, with 65 percent of UK adults registered for at least one mobile payment service in 2025, up from 57 percent in 2024. The UK now has more than 100 million contactless debit cards in issue. Faster Payments and other account-to-account remote banking payments reached 6.2 billion in 2025, making them the second most-used payment method behind debit cards, with volumes rising 10 percent year-on-year. Remote banking usage expanded significantly, with 91 percent of UK adults using at least one form of online, mobile, or telephone banking in 2025, up from 88 percent in 2024. Cash usage continued declining to 3.9 billion payments in 2025, down from 4.3 billion the previous year, representing eight percent of all payments. However, the rate of decline appears to be slowing, with approximately 1.4 million people primarily using cash for day-to-day spending. The report forecasts continued growth in digital payments through 2035 alongside a stable, residual role for cash. UK Finance emphasises that continued close engagement between government, regulators, and industry remains essential to unlock investment, support innovation, and maintain the UK's position at the forefront of payments infrastructure.