Contactless payments in the UK reached a new milestone in 2024, with 94.6% of all eligible in-store card transactions made using tap-to-pay technology, according to Barclays’ latest Consumer Spend report.
UK contactless payments surge
This figure marks a new high, up from 93.4% in 2023, and reflects the growing entrenchment of contactless as the default method of in-person card payment.
The data, drawn from Barclays’ processing of nearly 40% of the nation’s card transactions, points to a sustained behavioural shift in consumer habits.
British shoppers used contactless cards an average of 236 times in 2024, a modest rise from 231 times in the previous year.
Average transaction values also nudged upwards to £16.10 from £15.69, contributing to a 5% annual increase in per capita contactless spending – £3,803 in 2024 versus £3,623 in 2023.
Older Consumers Embrace Contactless at Record Pace
While younger consumers are often seen as digital natives, the report reveals that those over the age of 65 continue to be the fastest-growing adopters of contactless technology for the fourth year running.
Currently, 84.1% of individuals in this age bracket use contactless, up significantly from previous years.
Barclays attributes this growth to the perceived convenience of the technology.
Among respondents aged 61 to 79, more than two-thirds (67%) agreed that contactless payments are more convenient than traditional chip and PIN transactions – a telling insight into how ease of use drives uptake across demographics.
However, for payments that exceed the £100 contactless cap, chip and PIN remains the dominant method, cited by 78% of consumers as one of their most used options.
Cash (29%) and mobile wallets (24%) followed in popularity overall.
Generational Divide in Payment Preferences Above £100
A closer look at high-value payment behaviours reveals generational divergence.
Mobile wallets such as Apple Pay and Google Pay now rival, and in some cases surpass, cash usage among younger cohorts.
Among Generation Z (ages 18–27), 42% selected mobile payments as a preferred method for transactions over £100, compared to 30% who still use cash.
A similar pattern is seen in millennials (ages 28–43), where 33% favoured mobile payments, while 27% preferred cash.
Sector-by-Sector: Contactless Trends Across Industries
The uptake of contactless payments varied significantly by sector.
Motoring led the way with an impressive 19.4% annual growth in contactless spending, followed by general retailers and catalogues at 13%.
Furniture stores also performed strongly at 10.4%.
In contrast, discount retailers saw a 3.5% decline, suggesting price-sensitive consumers may be reverting to other methods.
Hospitality growth was more muted, with contactless payments rising by 3.7%, while travel-related spending increased 6.3%, buoyed by a 10% jump in non-public transport categories.
A Permanent Shift in Consumer Expectations
Karen Johnson, Head of Retail at Barclays, highlighted the role of convenience in contactless adoption.
“The increasing prevalence of self-service checkouts underscores the demand for frictionless payment experiences,” she noted, while cautioning that technology should complement – not replace – human interaction.
As the UK payments landscape evolves, contactless technology continues to assert itself not just as a trend, but as a defining feature of modern retail.
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