Mobile wallets surge as cash usage slows but remains significant in the UK

According to UK Finance, two-thirds of adults in the United Kingdom were signed up for a mobile payment service in the previous year, reflecting a steady shift toward phone-based transactions. Mobile wallets are now the default method for most users, with nine in ten loading a debit card onto their device and the remainder using a credit card. While debit cards—both physical and digital—represented 54% of all payments in 2025, cash still accounted for 8% of transactions, a share expected to fall to about 4% by 2035.

Younger consumers (16-34) are the most frequent mobile payers, though usage is rising among older age groups. Adrian Buckle described the trend as the UK becoming a predominantly digital economy for payments, while Nick Quin warned that cash remains essential for many, particularly lower-income individuals who rely on it for budgeting.