'Contactless' spending tops 2015 total, says UK Cards Association

Around £9.27 billion was spent over 1.1 billion transactions between January and June 2016 using contactless cards and mobile devices, according to UKCA (48-page / 1.95MB PDF), which is the trade body for the UK cards payment industry. There were 1.05 billion such transactions, worth £7.75bn, across the whole of 2015, UKCA.

Contactless payment methods were used for 18% of total purchases by value in June, up from 7% of the total at the same time last year. The average contactless transaction was worth £8.60 by the end of the reporting period, according to the figures.

UKCA head of policy Richard Koch said that the share of spending via contactless would only continue to grow as more companies began to accept it as a payment option. The contactless payment threshold increased from £20 to £30 late last year, while more local transport companies have begun offering the payment option on buses and trains following its adoption by Transport for London (TfL) in 2012.

"Contactless cards are firmly entrenched as the preferred way to pay for millions of consumers, who expect to be able to use them for everyday purchases," Koch said.

"We anticipate the use of contactless cards will continue to increase, particularly as charities and transport operators outside London recognise the benefits this technology can bring," he said.

Debit and credit card spending reached £53.1 billion in June, accounting for 77% of total retail spending, according to the figures. Much of the £400 million increase in payment card spending over the course of the month came from food and drink purchases, although there was a notable increase in sales of photographic goods and gift shops, UKCA said.