UK Digital Payments Market Booms: £8.5 Trillion Value Forecast by 2030
The UK digital payments market is experiencing a surge in popularity, with a projected value of £8.5 trillion by 2030. This growth is being driven by several factors, including the increasing popularity of remote working, supply chain disruptions, cybersecurity concerns, and the ongoing conflict in Ukraine.
The market reached a record £8.5 trillion in 2023, a testament to the rapid adoption of digital payment methods. This trend is expected to continue, with an estimated compound annual growth rate (CAGR) of 16.2% from 2024 to 2030.
One of the key drivers of this growth is the widespread adoption of mobile payments. These platforms offer increased convenience, extended financial services, and enhanced security. Mobile payments also play a crucial role in promoting financial inclusion by providing access to financial services for those who may not have a traditional bank account.
The rise of mobile payments has a significant impact on the UK economy, stimulating e-commerce growth and driving innovation in the fintech sector. Businesses are reaping the benefits of mobile payment solutions, experiencing faster and easier transactions, reduced costs, and access to valuable consumer data for targeted marketing efforts.
Despite the numerous advantages, the digital payments market faces challenges, including privacy concerns, cybersecurity threats, potential job displacement, and concerns about predatory practices.
The UK digital payments market is segmented by various criteria:
By Service:
Professional
Managed
By Solution:
Payment Gateway
Payment Processing
Payment Security & Fraud Management
By Mode of Payment:
Bank Cards
Digital Wallets
Point of Sale
Net Banking
By Organisation Size:
SMEs
Large Enterprises
By Deployment Mode:
Cloud
On-premises
By Industry:
BFSI (Banking, Financial Services, and Insurance)
Healthcare
IT & Telecom
Retail & E-commerce
Transportation
Key players in the UK digital payments market include:
PayPal Holdings, Inc.
Square, Inc.
Stripe, Inc.
Visa Inc.
Mastercard Incorporated
Apple Inc.
Google LLC
Amazon.com, Inc.
American Express Company
Wells Fargo & Co.
Worldline
Adyen
The growth of the UK digital payments market presents a significant opportunity for businesses and consumers alike. As the market continues to evolve, it is crucial to address the challenges and ensure a secure and inclusive future for digital payments.
