Digital wallet use sees rapid growth during the pandemic

A further 38% of respondents also say they now have a digital wallet stored on their phone, increasing to almost half (46%) of those living in Greater London. The survey also showed that over two thirds (68%) of people use cash less frequently now compared to before the pandemic, indicating that there will be a definitive shift away from cash payments as lockdowns continue to ease.

The research comes as part of ECOMMPAY’s latest whitepaper: ‘The future of payments post-Brexit: what to consider to move with the times’, which considers the impact of Brexit and Covid-19 on trade in or with the UK, provides key data-driven recommendations and forecasts for online businesses, and shows how fintech innovations can simplify cross-border trading.

The research found that older generations are embracing new payment technologies more than ever before. One in five (21%) 45 to 54-year-olds have increased their digital wallet usage during the pandemic, while more than half (51%) of over 55s say they have used a digital wallet.

Younger people – 16% of whom said they only pay using digital wallets – also continued their move towards contactless payment methods, with 44% of Gen Z increasing their digital wallet usage during the pandemic. Demonstrating these new habits are set to stay, almost one-third (31%) of people said that the pandemic has changed their preferred payment method.