Charities are being urged to pick up “touch and go” technology as contactless payments make up more than half of the world’s transactions.
According to trade body UK Payments, contactless cards are “having a clear impact” on the use of cash in the UK, as 34 per cent of Brits think the UK will be “cashless” within the next 20 years.
And that outlook is shared by some of the world’s biggest transaction processors.
Paulette Rowe, managing director of Barclaycard Payment Solutions, said: “Today’s consumers are increasingly using card and mobile payments rather than cash, and this has a knock-on impact on fundraising.
“Ten years after we introduced contactless to the UK, more than half of all transactions today – up to the £30 spending limit – are made using ‘touch and go’ technology.”
Barclaycard’s own research found that the average donation increases when fundraisers offer a “touch and go” method of donating.
Eleven charities – including the NSPCC and RNLI – trialled a lightweight, portable contactless device, with fundraisers placed at various events and in supermarket checkouts.
The average donation for the NSPCC was £3.07 – higher than the average amount received when taking just cash.
It calculated that charities will miss out on around £80 million a year if they only accept cash donations.
Simon Black, chief executive officer of epayment company the PPRO Group, added: “If charities don’t implement alternative payment methods as a priority, they will risk being left behind by organisations who do.
“Retailers have acted swiftly to introduce contactless payments, it is now time for charities to do the same.”