Market Overview
The UK contactless payments market reached a size of USD 554.1 Million in 2024 and is expected to grow to USD 801.0 Million by 2033. This represents a CAGR of 4.18% over the forecast period from 2025 to 2033. Key drivers include the increasing preference for faster and convenient payment methods, the rising adoption of mobile wallets and digital payment apps, and the growing use of wearable technology such as smartwatches.
Study Assumption Years
- Base Year: 2024
- Historical Years: 2019-2024
- Forecast Period: 2025-2033
UK Contactless Payments Market Key Takeaways
- The UK contactless payments market size was USD 554.1 Million in 2024.
- The market is forecasted to grow at a CAGR of 4.18% during 2025-2033.
- The market is expected to reach USD 801.0 Million by 2033.
- The rising demand for convenient and speedy payment options is a key growth factor.
- The use of mobile wallets and apps simplifies transactions and improves user experience.
- Wearable payment devices such as smart rings are gaining traction.
Sample Request Link: https://www.imarcgroup.com/uk-contactless-payments-market/requestsample
Market Growth Factors
In the UK, the key driver for contactless payments is the consumer's desire for convenience․ Contactless payments are faster than chip and pin and cash, which is appealing to consumers who want convenience for low-value transactions․ It is being adopted by retail, restaurants, and public transport to speed up transactions and improve customer experience․
One of the drivers for the growth of the market is the increase in the use of mobile wallets and payment applications․ A mobile wallet is a mobile payment application that stores the user's payment data on the mobile device, making it easier to spend and manage money and access loyalty programs․ For example, in 2024, DNA Payments connected more than 50,000 UK merchants to accept Alipay+, allowing international customers to make cross-border mobile payments․
Wearable payment devices, such as NFC-enabled smartwatches and fitness trackers, have also contributed to the growth of the NFC mobile payment market․ In 2023, McLEAR launched RingPay, a contactless payment ring available on Amazon UK․ It does not require a phone or battery and is connected to the VISA network, giving users an alternative contactless payment option․
Market Segmentation
Type Insights:
- Smartphone Based Payments: Availability of payment through mobile wallets and apps offers a convenient and quick payment option for users.
- Card Based Payments: Includes credit cards, debit cards, and other card types facilitating contactless payment methods.
Application Insights:
- Retail: Contactless payments in consumer electronics, fashion & garments, and other retail services improve transaction speed.
- Transportation: Used extensively for public transit systems to enable fast and convenient ticketing.
- Healthcare: Incorporates contactless payments for efficient billing and service access.
- Hospitality: Adoption of contactless payments in hotels and eateries enhances customer experience.
- Others: Covers other sectors utilizing contactless transactional technologies.
Regional Insights
The report covers several regions including London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, and Others. Unfortunately, no specific dominant region with statistics such as market share or CAGR is provided in the source.
Recent Developments & News
- February 2024: Transport for Wales introduced a contactless Pay-As-You-Go system covering journeys from Cardiff Central to Newport and Pontyclun, expanding to 95 stations in South Wales with fixed daily and weekly pricing.
- December 2023: Square launched Tap-to-Pay on iPhone in the UK, allowing merchants to accept contactless payments without additional equipment, simplifying in-person transactions.
Key Players
Competitive Landscape
The competitive landscape of the industry has also been examined along with the profiles of the key players.
Customization Note
If you require any specific information that is not covered currently within the scope of the report, we will provide the same as a part of the customization.
Request For Customization:
https://www.imarcgroup.com/request?type=report&id=24938&flag=E
About Us
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
Contact Us
IMARC Group,
134 N 4th St. Brooklyn, NY 11249, USA,
Email: sales@imarcgroup.com,
Tel No: (D) +91 120 433 0800,
United States: +1-201971-6302
Comments (0)