UK Payments Market Shows 54% Debit Card Usage in 2025

The UK's Payments Market report indicates that debit cards, including those on phones, accounted for 54% of all payments in 2025. Payment types have shifted, with 39% being contactless, while cash use dropped to 3.9 billion payments, or 8% of total transactions. Cheques have fallen to 0.2% of payments, totaling 77 million, despite previous plans for their phase-out. This shift highlights a growing preference for digital payments, which could impact cash accessibility, especially for lower-income individuals who still rely on it. Understanding these trends is crucial for investors in financial services.