Half of UK consumers have tried a new payment method during lockdown

Research has revealed that 54 per cent of UK consumers have used new forms of payments since the COVID-19 outbreak began, while 84 per cent globally are now thinking differently about how they make payments.

This is according to a survey conducted by Paysafe among 8,000 consumers across the world.

Since the lockdown started and most shops closed their doors, not surprisingly online shopping has seen a huge surge in adoption, quickly becoming the new normal. Nearly half of UK consumers (43 per cent) said they have increased their online shopping habits because of restricted access, while 21 per cent have tried online shopping for the first time.

When it came to cash, media reports suggesting it may aid the spread of disease has resulted in a shift in its usage, along with the fact that it is no longer permitted as a form of payment by certain retailers which are still operating. Last month Link, the UK’s biggest network of ATMs, announced cash usage in Britain has halved as consumers pursue alternative payment methods.

Paysafe found that 63 per cent of UK consumers surveyed said they will be using contactless payment technology more in the short term due to health and safety concerns, with 61 per cent saying they are happier using contactless now than they were last year.

Just 28 per cent of Britons and are currently using cash to make payments. Consumers in Bulgaria (71 per cent), Germany (51 per cent) and Austria (43 per cent) are more likely to still be using cash.

Across the board, people (56 per cent) were happier to use contactless cards than they were last year. In the UK this was 61 per cent - the highest in any of the countries surveyed - while Austria was lowest at 46 per cent.

The research also showed a marked increase in the popularity of digital wallets such as Skrill since the beginning of the pandemic, with 12 per cent of UK consumers using them for the first time to make an online payment.

Daniel Kornitzer, chief business development officer at Paysafe, commented: “Both payment providers and retailers must adapt in line with the demands of consumers and the requirements of the situation - ultimately, the change and improvements we make to digital commerce throughout this pandemic will pave the way for the future of both digital and in-store payments.”

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