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UK cash withdrawals plummet 60% during Covid-19 lockdown

UK cash withdrawals plummet 60% during Covid-19 lockdown

The Covid-19 pandemic is radically changing cash usage in the UK, with ATM withdrawals falling 60% during the lockdown and three quarters of Brits reporting that their use of paper money is down.

Research conducted by YouGov for ATM network Link shows that 58% of Brits are using cash a lot less and 54% are avoiding it and using alternative payment methods.

The changes seem set to continue, with 76% of those questioned by YouGov saying that they think the crisis will affect their future use of cash over the next six months.

Around half say they will use cards more, while 44% will use contactless or mobile payments more, 34% will do more shopping online, and 31% will use ATMs less frequently.

However, cash is still far from dead, with Link data showing there are still 11 million withdrawals a week worth £1 billion.

Infact, some Brits - 14% - say that they are actually keeping more cash at home in case of emergencies. This is in line with data from the the Euro area and Russia, which shows that people are hoarding money during the crisis.

John Howells, chief executive, Link, says: "Even if this crisis does lead to less cash use in the longer term, people should be reassured that Link and its members will continue to ensure good access to all who still rely on it."

Comments: (2)

A Finextra member
A Finextra member 29 April, 2020, 14:37Be the first to give this comment the thumbs up 0 likes

The reduction of cash withdrawal of 60% may be due to people in Covid19 risk groups (+70 years and older) stay at home and do not go out shopping anything These mainly elderly people may be more inclined to cash payments than cards at POS and therefore the atm drop.  

Duane Tough
Duane Tough - PBATM - ny 29 April, 2020, 15:54Be the first to give this comment the thumbs up 0 likes

I hope the ATM operators get access to the numbers in detail to assist in several areas currently and in the future of cash management (Vault),  placements, decomishing, usage patterns etc...lots of valuable data there to helps with the margins to ensure effective delivery of cash to the communities!!!