The limit on contactless card payment is to be increased from October 15, the Treasury has announced.
The limit, currently set at £45, was increased from £30 during the beginning of the pandemic and is set to be changed again to more than double at £100.
Nearly two-thirds of all debit card transactions are made via the tap-and-go technology according to the BBC however academics warn that raising the limit could increase crime.
It's said that allowing a higher limit, which could cover costs of a weekly shop or fuel, will offer a "boost" to retail and hospitality sectors in the wake of the pandemic - as well as reducing potential transmission of covid such as when people take out cash at ATMs or entering their PIN on card machines.
Whilst the change won't automatically come into force on October 15 due to a number of terminals which will need updating, there still remains to be no limit on mobile payments through platforms like Apple and Google Pay when authenticated through biometric technologies like fingerprint or facial recognition.
David Postings, Chief Executive of UK Finance, said: "Contactless payment has proved very popular with consumers and an increasing number of transactions are being made using contactless technology.
"The increase in the limit to £100 will allow people to pay for higher value transactions like their weekly shop or filling up their car with fuel.
"The payments industry has worked hard to put in place the infrastructure to enable retailers to update their payments systems so they can start to offer their customers this new higher limit."
Chancellor Rishi Sunak added: “Increasing the contactless limit will make it easier than ever to pay safely and securely - whether that’s at the local shops, or your favourite pub and restaurant.
"As people get back to the high street, millions of payments will made be simpler, providing a welcome boost for retailers and shoppers.”
