payment service providers

As contactless transactions boom, EU regulators publish draft guidelines on the interplay between the GDPR and PSD2.

By Fiona M. Maclean, Christian F. McDermott, Calum Docherty, and Amy Smyth

Last year, more than half of all payments in the UK were made by card and contactless methods, while cash made up less than a quarter of all payments for the first time, according to the trade association UK Finance. The COVID-19 pandemic has accelerated the shift towards a cashless society, as governments across Europe encourage citizens and businesses to adopt cashless solutions. At the start of the lockdown, in the spring, ATM transaction volumes in the UK fell 62% year on year, while the daily cash transaction volumes dropped by as much as 90% in Spain, according to the Financial Times.