The contactless payment limit was recently raised in the United Kingdom to a total of £45, in order to help stop the spread of coronavirus. The increased contactless payment limit will take effort on April 1st, and it will mean more consumers will not have to touch a machine making a purchase. Consumers and cashiers will also not have to handle cash, which the WHO warns people to wash their hands after touching.
UK Finance stated that the decision was being considered by industry officials since then, the process has been expedited. The contactless payment limit was previously increased in 2015 when it was brought up to £30. Overall increasing the limit again can help protect consumers and retail employees.
Increased Hands-Free Payments
The Contactless Payment Limit Was Increased in the UK to £45
Trend Themes
1. Increased Contactless Payment Limit - Raising the contactless payment limit to £45 provides an opportunity for businesses to boost their sales with seamless, touch-free transactions.
2. Reduced Cash Transactions - The shift towards contactless payments eliminates the need for cash handling, providing an opening for fintech companies to offer innovative solutions for a cashless society.
3. Hygiene-conscious Consumer Behavior - The emphasis on touch-free payments highlights the growing demand for hygiene-focused products and services, presenting an opportunity for businesses to develop innovative hygiene solutions.
Industry Implications
1. Fintech - The increased contactless payment limit creates a space for the fintech industry to develop disruptive payment solutions, such as mobile wallets and digital payment platforms.
2. Retail - Retailers can leverage the increased contactless payment limit to enhance the customer experience and expedite transactions by adopting innovative point-of-sale systems and frictionless payment technologies.
3. Hygiene Products - The rise in hygiene-conscious consumer behavior provides an opportunity for the hygiene products industry to develop innovative solutions, such as self-cleaning payment terminals and antimicrobial surfaces.