Convenience Store has already brought you news of how consumers plan to continue shopping small, but in addition, a new survey of 2,000 UK adults from comparison website, Nerd Wallet UK, has revealed 79% of Brits plan to use cash for spending and saving in 2025, And, contrary to reports of the death of hard currency, just 4% are ruling out using cash entirely.
Also pleasing is the news that age is not a barrier to the use of cash. The survey shows that 85% of 18 to 24-year-olds plan to use cash this year – the highest of all age brackets surveyed.
Also on the positive side, two in five Brits surveyed said the reason for using cash over digital payments was to support smaller businesses so they do not have to pay transaction fees with banks and similar.
UK men (80%) are also more likely than women (76%) to use cash this year, according to the research. Drilling down into the figures, more than a third (34%) of those over 65 plan to use cash to support local businesses, compared to only 12% of 18 to 24 year olds.
Over one in five (22%) also plan to use cash as a key tool for keeping to planned budgets, whilst 21% plan to use cash out of a lifelong habit and for ease of use when travelling.
In terms of location data, Chelmsford ranks as the most cash reliant location in the UK, with 93% of those asked there saying they will use cash in 2025, followed closely by Brighton & Hove, with London third.
The survey identified Chelmsford as the UK’s most cash-reliant city, with 93% of residents planning to use notes and coins as part of their spending and saving strategy this year.
Brighton & Hove (86%) and London (83%) follow closely as residents in these areas also look to prioritise the use of cash: More than one in 10 residents in these cities plan to rely on cash heavily this year (14% and 12% respectively). In contrast, Gloucester (58%), Wrexham (66%) and Bristol (68%) are the UK’s least cash-reliant cities in 2025.
Amy Knight, personal finance expert at Nerd Wallet, said: “Despite the rise of digital payments, it’s clear that cash remains a vital savings and spending strategy for UK consumers. Shoppers also see cash as a means to support small businesses by helping them avoid transaction fees. This points to the public recognition of the economic pressures facing small enterprises as National Insurance hikes and minimum wage increases loom.
“Using cash is increasingly being seen as a way to spend more mindfully, with 22% of UK adults stating they plan to use physical forms of payment as a tool to limit spending and manage their money.”
To read the full report, click here.
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