{"id":193356,"date":"2025-12-19T16:36:07","date_gmt":"2025-12-19T16:36:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/193356\/"},"modified":"2025-12-19T16:36:07","modified_gmt":"2025-12-19T16:36:07","slug":"uk-contactless-card-limit-of-100-to-be-scrapped-from-19-march-contactless-payments","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/193356\/","title":{"rendered":"UK contactless card limit of \u00a3100 to be scrapped from 19 March | Contactless payments"},"content":{"rendered":"

The \u00a3100 limit on contactless card payments will be scrapped next year and consumers could get the ability to spend as much as they want without inputting their pin under changes announced by the UK financial regulator.<\/p>\n

Currently contactless payments by cards are limited, while payments using mobile phones are not, but the Financial Conduct Authority<\/a> (FCA) said that from 19 March banks and card providers could set their own maximums.<\/p>\n

As well as the single transaction limit, there is also a cumulative limit of \u00a3300 or five \u201ctaps\u201d, after which customers are asked to put in their pin. Providers will also be allowed to lift this if they choose.<\/p>\n

The FCA said the changes would allow banks to respond to changing consumer demands, inflation and new technology.<\/p>\n

However, it said customers should be allowed to set their own limit or turn off the contactless facility if they chose to, and it added that in the short-term it expected most providers to keep their existing restrictions.<\/p>\n

Contactless card payments were introduced in 2007 with a \u00a310 limit on payments. The limit was raised gradually, to \u00a315 in 2010, \u00a320 in 2012, then \u00a330 in 2015. The Covid pandemic prompted a jump to \u00a345 in 2020, then to \u00a3100 in October 2021.<\/p>\n

A consultation on the latest increase<\/a> was launched earlier this year.<\/p>\n

According to research by Barclays Bank, 95% of eligible payments made in shops are now contactless. However, despite rising shop prices, a survey done for the FCA found 76% of consumers thought the limit should be \u00a3100 or lower.<\/p>\n

The FCA said the rule change would apply to banks and card providers that had strong fraud controls in place.<\/p>\n

It said existing consumer protections would remain, and victims would have to be reimbursed in unauthorised fraud cases, such as if their card is lost or stolen.<\/p>\n

David Geale, the executive director of payments and digital finance at the FCA, said: \u201cContactless is people\u2019s favoured way to pay. We want to make sure our rules provide flexibility for the future, and choice for both firms and consumers.\u201d<\/p>\n

Kate Nicholls, the chair of the trade body UKHospitality, said the change would be \u201ca positive\u201d for her members and other high street businesses.<\/p>\n

\u201cContactless has increasingly become the preferred payment method of choice for many people, and lifting the limit can mean quicker and easier experiences for consumers,\u201d she said. \u201cWhile many people still prefer to use cash or chip and pin, this change adds much-needed flexibility for providers and consumers.\u201d<\/p>\n

However, Richard Whittle, an economist at the University of Salford, said the extra convenience could come at a cost for consumers. \u201cIf this ease of payment leads to consumers spending without thinking, they may be more likely to buy what they don\u2019t really want or need,\u201d he said.<\/p>\n

\u201cThis could be a particular issue with credit cards, when people are spending borrowed money and accumulating debt.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"The \u00a3100 limit on contactless card payments will be scrapped next year and consumers could get the ability…\n","protected":false},"author":2,"featured_media":193357,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[85,46,321,125],"class_list":{"0":"post-193356","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-mobile","8":"tag-il","9":"tag-israel","10":"tag-mobile","11":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/193356","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=193356"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/193356\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/193357"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=193356"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=193356"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=193356"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}