Shoppers across the UK will now be able to pay up to £100 using contactless card payment services from today.
At the start of the COVID-19 pandemic, the payment cap was increased to £45 to help reduce the need for customers to handle cards and cash due to concerns about the virus being transmitted via surfaces.
But today’s payment limit increase to £100, announced last week, is the most significant yet.
The latest increase, which was initially announced in March’s budget, will not be available everywhere straight away however, as some businesses and retailers still need to roll out changes to their technology, while others may choose not to adopt the new limit at all.
The British Retail Consortium said consumers should check with individual stores, as it could take “days, weeks or even months” for the change to be put in place.
Here’s everything we know so far.
Why is the limit increasing?
As mentioned, the decision to increase the limit was taken by the Treasury and the City regulator, the Financial Conduct Authority (FCA), and was announced last week, but Chancellor Rishi Sunak first teased it during his 2021 Budget back in March.
Mr Sunak said the decision to increase the limit to £100 would not only be more convenient for shoppers, but it would also be a boost to the High Street following several lockdowns.
When contactless card payments were introduced in 2007, the transaction limit was set at £10 and designed as an alternative to small change – but the limit has been gradually raised five times over a number of years since then.
It increased to £45 last year, as the pandemic accelerated a move away from cash.
The increase also comes after it was found that more than a quarter of all payments in the UK were contactless in 2020, according to figures from the banking trade body UK Finance, with 83% of people using the technology.
A Financial Conduct Authority spokesperson said the rules have been changed to help the industry continue “to respond to the changing ways in which people prefer to pay”.
Shoppers across the UK will now be able to pay up to £100 using contactless card payment services from today / Credit: Flickr
Why can’t it be used in all retailers just yet?
The short answer is that not every shop is ready to facilitate the new limit from today,
Due to the huge number of terminals which need to be updated, this means that Friday marks the first day of a gradual introduction of the new limit, with the Andrew Cregan – Payments Policy Adviser at the British Retail Consortium – admitting: “It may take days, weeks, or even months for some retailers to make the necessary changes in their systems so that the new limit can take effect.”
“Some retailers may [also] choose not to adopt the new contactless limit,” he added.
“As a result, customers will need to take care when making payments to check what the maximum contactless limit is for individual stores.”
The increase also comes after it was found that more than a quarter of all payments in the UK were contactless in 2020 / Credit: Wikimedia Commons
What are the risks?
A number of experts and organisations have spoken out to make shoppers aware of the risks as the limit increases to £100, warning that the change will make contactless cards more of a target for fraudsters, or cause problems for people who are struggling to stay in control of their spending.
Age UK has also warned that because the raising of the limit could increase the potential for fraud, it may therefore put some older people off using bank cards to pay for goods and services when they’re out and about.
Because of this, several banks across the UK have said they will also allow account holders to set a contactless limit of less than £100, or even turn it off altogether.
Gareth Shaw – Head of Which? Money – added: “While paying with contactless offers great flexibility and convenience for many people, some may be wary about the significant increase – so it is encouraging to see some banks allowing customers to set their own contactless limits from as low as £30.
“These changes may make contactless cards slightly more attractive for fraudsters, but encouragingly the risk of being defrauded via a contactless card remains low and if a fraudster does use your card details then your card provider should reimburse you.
“Consumers should be able to feel confident using them.”
Featured Image – Flickr
News
Inside the new Pull & Bear as shoppers say new Trafford Centre megastores are ‘literally a maze’
Daisy Jackson
The trio of new fashion arrivals at the Trafford Centre is now complete, with a brand-new supersized Zara, Bershka, and Pull & Bear now open for business.
The huge new-look Pull & Bear promises an ‘interactive and visionary’ shopping experience, with modern concrete interiors and metallic finishes.
It’s a similar minimalist design to the new Zara and Bershka that opened a few weeks ago, and signals a new design movement for parent company Inditex.
Pull & Bear now spans 805.40 square metres, showcasing accessories, footwear, and clothing.
It’s an impressive space, but shoppers have started joking that the new stores are so futuristic and modern, they’re getting a little overwhelmed.
One person wrote: “I went today and had to leave it made me feel ill it was like walking in a maze.”
One shopper said it feels like stepping into ‘Kim K’s wardrobe’ and more than a few people have compared the stores to a ‘space ship’.
A viral video on TikTok showed one girl managing to lose her friend inside the maze-like retail space.
She said: “Forgive me for being dramatic but I lost my mate 10 minutes ago in the new Zara in the Trafford Centre and I genuinely can’t find her.
“Like I’ve just been walking round in circles trying to find an outfit for a party, but I’ve lost her instead, so we’re playing a game of hide and seek in the Trafford Centre.
“Oh my god I’ve got a spinny head I’m giving myself whiplash.”
Have you been to the new Zara / Berskha / Pull & Bear yet? What do you think?
A long-standing Italian restaurant in Trafford has sadly announced its imminent closure
Danny Jones
Another day, another bit of unfortunate hospitality news, as long-standing Greater Manchester restaurant, Little Italy in Timperley, has announced it is closing permanently very soon.
The Trafford favourite, which has been serving locals for nearly 20 years, has informed regular diners that it will sadly be closing its doors for good, with Little Italy’s final service set for later this month.
Having earned plenty of praise in its time, including being one of the few spots in and around the Altrincham area to have won a TripAdvisor Certificate of Excellence in 2015, before the borough saw its foodie boom begin.
But fast forward a decade, and the Timperley institution is yet another culinary casualty to be confirmed of late, with Little Italy sharing a tear-jerking statement online.
Sharing the tragic news on social media this Friday (5 Sep), the restaurant wrote: “To all our lovely customers, it is with a heavy heart that we share some news with you all. After over 18 years of serving you all in Timperley, we will be closing our doors later this month.
“This has not been an easy decision. Unfortunately, rising costs and a significant increase in rental [costs] have made it impossible to continue in a sustainable way. As much as we love what we do, the reality is that it has become too difficult to maintain under these circumstances.
“Over the coming weeks, we will continue to cook with love and serve with the same passion as always. We would love to see you all and share one more meal, and raise a glass together.”
Safe to say that the post has been met with an outpouring of condolences and support from natives nearby and those who have travelled to enjoy their food.
Little Italy went on to add that they will detail more about their final week of business as soon as possible.
They can’t be accused of not keeping up with times and not trying to promote via social media either, as they small family-run team – headed up by Sam Cauchi, who bought the site back in 2008 – have always given things a go besides the day-to-day operation of the restaurant.
Being one of many saddened customers to respond underneath the announcement, we couldn’t possibly sum up things better than local Vanessa Nice, who said: “Look at all these amazing comments – you certainly made your mark as a home from home for the residents of Timperley.
“The end of an era will always be sad, but sometimes life and families have to move on.”
As for Cauchi and co., they signed off by simply adding: “From the bottom of our hearts, thank you for your support, kindness and friendship over the years. Timperley has been our home, and you have all been our family.
“Love from all the team at Little Italy.”
It goes without saying that we’re gutted for the gang and our thoughts are with everyone involved at this difficult time. For now, we can only say thank you to the countless Greater Manchester locations that continue to fall foul in the face of the rising pressures industry-wide. Case and point…
The Manc -
15th October 2021 
