£130 million worth of purchases in the UK - or 664,000 online transactions - have been declined in the four weeks since Strong Customer Authentication (SCA) was implemented, data from Barclaycard Payments has found.

The research shows that retailers are losing out on around 22,000 purchases worth £4.3 million every day as the new rules block non-compliant transactions.

SCA adds a security check to online transactions over £25 in a number of formats, including prompting the cardholder to verify their identity through a one-time passcode sent by SMS, a response code generated from a bank-issued card reader, or through approval via their mobile banking app.

Buyers subsequently enter this code into the business’ SCA compliant checkout to complete the purchase.

“One month on from the introduction of mandatory SCA checks, it’s clear that too many businesses are still not compliant and are losing out on millions of pounds in sales as a result,” said Rob Cameron, chief executive, Barclaycard Payments. “Our research shows that adopting new payments technologies can help businesses reduce basket abandonment while offering customers a faster, more secure check-out experience.

“The message to retailers is clear; prioritise SCA compliance, simplify the customer journey and take advantage of the latest payments technologies to avoid losing out on sales and customers.”

Barclaycard data also shows that two in five – 37 per cent – have not introduced any new payments technology on their website over the past two years.

Of those that have implemented this, 92 per cent agree that the technology they invested in has improved the checkout experience for their customers.

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