The use of cash to pay for goods is declining as more Brits head online for their purchases, telegraph.co.uk reports.
According to a new survey undertaken by the British Retail Consortium (BRC), cash is losing the dominance it has held for generations as shopping habits see internet retail volumes soar. Now, with more people than ever making purchases on card or buying goods online, cash is being used for just 54 per cent of transactions.
Whilst this still represents the largest market share, the figure has plummeted 10 per cent in just the last year alone. With this trend set to continue for years to come, the reliance on cash looks set to decline further, with many analysts expecting it to be second-favourite within just a few years.
Outside of cash payments, the volume of transactions placed on a credit card has also declined, falling by 3.4 per cent. Debit card usage, on the other hand, posted a rise of 3.2 per cent.
The internet shopping trend, which has seen many retailers swap carrier bags for post-friendly packaging, has also impacted real-world sales, with the last month seeing retail sales decline at their quickest rate of the past year. Conversely, online sales are rocketing.
Explaining the trend, BRC director general, Helen Dickinson, told thedrum.com: “New ways to pay and new ways to shop are changing the retail landscape like never before. Changing customer preferences are driving the increase in debit card use – they’re helping people to manage their money better and are a natural fit for online shopping and self-service checkouts.”