Worldpay, the payments technology and solutions firm, has published its 10th edition of the ‘Worldpay Global Payments Report’ (GPR) as it uncovers how the UK’s payments landscape has transformed over the past decade.
The Worldpay GPR is a comprehensive annual study providing insights into the trends that have defined the past, present and future of payments. This year’s report looks back at a decade of data to highlight the seismic shifts in payment habits since its launch while looking at the trends that will shape payments through 2030. Some of the main takeaways include a huge drop in cash payments, and an uptick in digital payments.
Pete Wickes, general manager, EMEA at Worldpay, said: “In an era where consumer choice is king, the UK’s payment landscape has become a sophisticated network of diverse options, reflecting the nuanced demands of its users. It reflects a society that values the security and familiarity of traditional payment methods, while simultaneously embracing the efficiency and enhanced experience offered by emerging technologies.”
Payment preferences
Cash
In 2014, 32 per cent of consumers used cash to make their purchases. However, with the adoption of contactless payments growing, cash began taking a backseat and following the COVID-19 pandemic, it’s usage almost completely fell off. However, the decline has since stabilised and in 2024, 10 per cent of point-of-sale (POS) transactions were made using cash (accounting for £128billion of in-store transactions).
For some, ‘cash is king’ and consequently remains a vital part of the UK payments landscape and is projected to account for £109billion (eight per cent) of in-store spending by 2030.
Digital wallets and payments
As cash usage declined this past decade, digital payments have surged. This has been in large part due to the rise of digital wallets. From 2014 to 2024, the value of e-commerce transactions conducted via digital wallets quadrupled, accounting for £108billion in spending last year.
This rapid adoption has positioned the UK as the third, behind Denmark and Norway in Europe for online digital wallet use. At POS, digital wallets have seen remarkable growth, increasing from just one per cent to 18 per cent of spend during the same period. This trajectory is set to continue, with projections indicating a rise to 33 per cent by 2030, when £447billion of in-store spending is likely to be made via digital wallets.
There is another shift in consumer purchasing taking place as consumers demand more flexible and digital payments solutions. One clear example of this can be seen in the expansion of buy now, pay later (BNPL), which has grown from under one per cent of online spending in 2014 to accounting for seven per cent of online spend in 2024. It is projected that by 2030, £33billion of UK online spend will be made via BNPL.
Cards are still top
Despite the rise of digital alternatives, UK consumers remain loyal to cards. £1trillion of total in-store and online spending was conducted using cards in 2024. Additionally, Worldpay’s Global Payments Report survey reveals that 63 per cent of digital wallets in the UK are funded by cards, underscoring their continued role in the UK’s payment infrastructure, despite the growth of digital methods.
The popularity of debit cards persists in the UK, particularly amid ongoing economic challenges. Consumers are spending within their means, with almost a quarter of UK consumers indicating that budgeting was a motivator for using debit cards in store, rising to almost a third for online use.
In 2024, the share of in-store spending via debit and prepaid cards was almost double that of credit cards, at 46 per cent compared to 24 per cent at POS.
Wickes added: “Worldpay champions a diverse and dynamic payments landscape, recognising that payment choice enhances the customer journey, supports merchant growth, and powers commerce. As we witness the convergence of the old and the new, merchants should be prepared to leverage this dynamic ecosystem by offering payment options that are both responsive to and anticipatory of their customers’ behaviours and preferences.”
