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Wales Online
Wales Online
National
Jess Flaherty, Vicky Shaw & Brett Gibbons

Contactless payment limit increases to £45 in move away from cash purchases

Changes to the spending limit for contactless payments will come into effect from today with shoppers now able to make purchases uo tp £45 per transaction.

The new limit, which comes into force today April 1, will be three times the amount it stood at originally, with "tap and go" contactless cards initially having a maximum transaction of £10 back in 2007.

UK Finance, which represents the finance and payments industry, said the decision to raise the limit was made following talks with the retail sector.

The limit for a single transaction is now £45 (PA)

A new limit was already being considered but the move has been accelerated as part of the industry's response to the global outbreak of coronavirus.

Now, more payments can be made without the need to handle cash while also reducing the number of occasions when people need to input their pin on a machine when making payments.

However, shoppers will not be able to make contactless card payments of up to £45 in all the shops that remain open.

The software on card payment machines will need to be be updated to accept the new £45 limit and this will happen gradually.

British Retail Consortium head of payments policy Andrew Cregan said: "Some shops will take longer to make the necessary changes, given the strain they're under."

Some £80.5 billion was spent using contactless payments in 2019, UK Finance figures show, up by 16 per cent on the previous year.

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