Contactless payments accounted 88.6% of total card payments in 2020 as restrictions on contact-based payments drove people to the payment method, according to data from Barclaycard.
Despite many shops closing for long periods during various lockdowns to reduce the spread of Covid-19, the total value of contactless payments increased by 7% in 2020 compared to 2019. For example, there was a 29% increase in the use of contactless in UK grocery stores.
Contactless cards, which enable users to make payments by scanning a reader when checking out, were first introduced in 2007 with a £10 spending limit. This limit has gradually increased, and the maximum contactless payment permitted is now £45 after it was brought up from £30 in April 2020.
The decision to increase the limit on contactless spend to £45 has driven the average value of contactless payments by 29% during 2020, to £12.38, compared with £9.60 in
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