Cash use plummeted in 2018, according to new report
Millions chose to go cashless in 2018 - and millions more look set to follow in the coming years
More than five million people lived almost entirely without cash in 2018, according to a report by the trade body UK Finance.
A further two million people used cash no more than once a month, which reflects the increasingly cashless habits of the modern consumer.
Cash use falls by 16%
Year on year, the use of cash fell by a huge 16% in 2018.
In 2008, 60% of payments were made by cash, but last year that proportion fell to just 28%. UK Finance predicts that this percentage will drop to just 9% within the next 10 years.
This has huge implications, for a number of reasons. Cash machines will continue to disappear, but careful planning is required to ensure that the remaining ATMs are free to use, and located in areas where they're most needed. This is especially significant for more remote, rural areas - which are also typically more cash reliant.
And businesses who don't take cash will no longer be able to ignore the data. Major reports in 2019 prove that customers are choosing card over cash, and that cash machines are becoming less easily accessible.
Cash-only business? Listen to your customers
We work exclusively with small businesses, so we understand why so many have chosen to remain cash-only.
Historically, customers in our communities have preferred cash over card - and small companies were merely listening to those demands. Customers enjoyed the anonymity of cash, and businesses saw taking card payments as an unecessary complication. But it's now clear that the ladnscape has changed - and rapidly.
With the growth, ease and security of contactless, fears around card use are disappearing. Customers are not only finding card payments faster and more convenient, but businesses are too - not least of all because of the time saved in not transporting cash to the bank and waiting in line.
Any good business listens to its customers. And this major report tells us what customers are saying. Cash is no longer king.
If you're interested in trying out a low-cost card payment solution designed specifically for small businesses, head to www.xln.co.uk/pay. We have machines for every business type, and can get you set up as quickly as 24hrs.