RSS Feed

Related Articles

Related Categories

Cashless society: 1 in 10 carrying zero cash with them

24th June 2014 Print

The increasing popularity and practicality of shopping on plastic using debit and credit cards may be helping to transform the UK into a cashless society.
 
New research conducted on behalf of alternative account provider thinkmoney reveals that, when asked, just over one in 10 respondents (11%) had no physical cash on them whatsoever. This is nearly double the number of people who said this when asked the same question in September 2013 (6%).
 
Of those who were carrying cash at the time of the survey, half (50%) had less than £20 on them, and one in five (20%) were carrying less than £5.
 
Young people were the least likely to be carrying coins and notes on them, with 16% of 18 to 24-year-olds revealing they had no cash in their pockets, wallet or purse. This compares to just one in 20 (7.6%) over-55-year-olds who said the same. Meanwhile, men were more likely to say they had no cash on them than women (13% compared to 8.1%).
 
Recent research from the British Retail Consortium noted that cash use has fallen 14% in the last five years, and claimed that the availability and diversity of ways to pay by card has influenced this movement. However, the poll for thinkmoney reveals that there are still some purchases people are hesitant to make using plastic.
 
More than half (58%) of respondents admitted they would not be happy making a small purchase like a newspaper, pint of milk, drink or snack using their debit or credit card. Meanwhile, a third (31%) said they would pay for a sandwich using their card if they needed too, but only half this number would feel happy paying for a newspaper (18%) or packet of crisps (16%) in this way.
 
Ian Williams, spokesman for thinkmoney, says: “Paying for items on your card – whether they’re small transactions or not – can make it easier to keep track of your finances. Whenever you pay for something using your debit card, the details are listed on your financial statement for you to check.
 
“If you rely on cash for the majority of your purchases, no such record is made – only that you withdrew the money. And don’t forget that if you lose your card it can usually be replaced swiftly and your money stays safe, but if you lose physical cash it is very difficult and often impossible to get it back.”