Majority of Britons “unsure” about alternative payment methods

The report found that almost half (49 percent) of 18-34 year olds would be reluctant to make an instant payment via fingertip – whereby a microchip is inserted into your finger and linked to your bank account.

This figure only slightly differs throughout the various age brackets, with 47 percent of 35-54 year olds and 52 percent of over 55s saying they’d opt out. The sentiment is similar when broken down by region, with Plymouth ranking top as the most apprehensive UK city for fingerprint payment (65 percent), followed by Manchester (52 percent). At the other end of the scale, those in Belfast are the most likely to opt into payments by fingertip, with one fifth of those surveyed voicing their support (21 percent).

The research also found that 44 percent of UK residents would shy away from facial recognition as a form of payment, with almost half (46 percent) of those aged 18-34 and over 55 saying they would opt out.

Overall, the study found Britons prefer traditional methods of managing their finances, with 65 percent favouring traditional banks for security. This is particularly evident in over 55s (72 percent), with 63 percent of 18-34 year olds also citing their preference for traditional banks.

According to the report, the most commonly used payment method is contactless card (39 percent), followed by cash (31 percent) and chip and pin (27 percent). However, when asked about a potential cashless society in the future, over half (55 percent) cited concerns over contactless payments and security. The research also indicated that an attachment to cash remains strong for many, with just under half (49 percent) of those surveyed still leaning towards cash for payments of £5 or less.

Sally Francis-Miles of MoneySuperMarket said: “The nature of how we spend our money is changing and it’s only a matter of time before some of these payment methods become a reality.

“Twenty years ago, contactless payment was unheard of and while there was a reluctance to use it when it was first introduced, it’s now used without question by millions. However, it’s understandable that having a chip inserted in your finger to make payments is too advanced for now, but in 20 years’ time, it could be a different story.

“That said, it’s unlikely that paper money will disappear in the near future, though it’s clear that advances in payment technology are altering our spending habits.”