Debit card spending in retail outlets exceeded cash spending for the first time ever last year, according to figures released today by APACS, the UK payments association.
Total spend on debit cards in UK retail in 2005 was £89bn compared to total cash spending of £81bn. This shows retail debit card use up nine per cent on 2004's figures of £82bn of retail spending, against cash retail spending down four per cent from £84bn.
The statistics cover all retail transactions in 2005 - both online and offline.
Sandra Quinn, director of communications at APACS, said: "At the end of 2004, we saw total UK spending on plastic overtake cash for the first time, signalling a real sea change in our payment habits. This change was mainly driven by debit card use. The 2005 figures show that this trend is continuing with debit card spending in retail outlets crashing through the cash barrier for the first time ever."
“It is clear that there are certain situations when we tend to use a credit
card rather than a debit card – for bigger items and when buying online or
overseas. Consumers welcome the convenience and security credit cards bring,"
The combined retail figures of spending on credit and debit cards showed a continued increase in plastic card use – accounting for 63 per cent of all retail spending in 2005, up from 60 per cent in 2004.
Today saw 14 of the UK IT channel's biggest hitters come together to determine the winners of CRN's WiC awards. But what does being a WiC judge actually involve? Doug Woodburn reports
'Smaller firms may struggle to keep up with Microsoft's innovation with Dynamics' says CEO Stuart Fenton after acquiring assets from Profile Enterprise Solutions
Pete Peterson admits the firm hasn't always been the 'easiest company to do business with'
New chief exec Aaron Painter says 'longer-term strategy' could see firm tackle the Asian market