For the third consecutive year, cash withdrawals have risen, with ATM withdrawals increasing by nearly 5% over the past year. In 2024 alone, over 30 million withdrawals were made, totalling £4.34bn.
Since 2021, the number of cash withdrawals has surged by nearly 30%, defying the narrative of digital payment dominance.
The report identifies economic uncertainty and the cost-of-living crisis as significant drivers of this trend.
Consumers increasingly turn to cash for budgeting purposes, finding that using physical money helps them manage spending more effectively and maintain financial discipline.
The ongoing cost-of-living crisis has prompted many consumers and businesses to reevaluate their payment habits.
For many, cash remains a trusted, resilient, and private method of payment.
Businesses that have shifted to cashless models may be losing customers who prefer the option to pay with cash, underscoring the need for payment flexibility in a challenging economic climate.
“The recent figures show consecutive annual increases since the pandemic. With cash usage continuing to grow year on year, it’s evident that cash is no longer in decline,” said Mike Severs, sales & marketing director at cash handling solutions specialist Volumatic.
“Businesses must adapt to this trend by maintaining the option to accept cash and promoting it to customers. Investing in cash handling technology can streamline operations, improve efficiency, and reduce costs.”
Severs also highlighted the risks businesses face when going cashless. “Those who have moved to card-only payments should reconsider, as they risk losing customers and revenue,” he said. “We have seen many retailers and quick-service restaurants reintroducing cash payments with significant success, boosting profits and enhancing customer satisfaction.”
