Cash still popular choice for British public
22 April 2003
The £1 coin reached its 20th year in circulation yesterday and, according to the latest figures, the popularity of notes and coins shows little sign of waning.
The annual Alliance & Leicester Cash Usage Survey shows that newer payment methods are failing to usurp the dominance of cash.
The survey by the Alliance and Leicester's commercial banking arm, Girobank, asked whether people thought cash was 'old-fashioned'. More than two-thirds (67 per cent) of the 2,000 adults sampled disagreed with the statement, an increase on 63 per cent for 2001.
The Alliance & Leicester Cash Usage Survey found greatest support for cash among the younger age groups - almost three-quarters (71 per cent) of 16 to 24 years olds disagreed with that it was old-fashioned. A similar number (70 per cent) also agreed that cash would still be in use in 25 years' time.
Those living in London were most likely to view cash as 'old-fashioned' - with almost one in three (30 per cent) agreeing with the statement. Elsewhere, around one in five typically agreed with the assertion.
Just under half (45 per cent) of all respondents expected their cash usage to remain the same over the next five years, whilst just over a third (37 per cent) believed that they will be using cash less.
The younger generation is significantly more likely to use cash (36 per cent compared to the overall 14 per cent). However, the older generation (45-54 year olds) think that they will be using cash significantly less (42 per cent compared to the overall figure of 37 per cent).
Around two-thirds (64 per cent) of all adults think that cash will still be in use in 25 years' time.
Karen Woods, Director of Sales at Girobank, said, 'Our survey clearly demonstrates that despite the advance of other payment methods, it is still good old notes and coins that people generally favour.'
' Young people in particular favour cash and their responses seem to confirm that predictions for the demise of cash are unfounded. Many people even forecast increased cash usage.'
'With an average daily cash spend of £21.60 per adult, based on a UK over - 16 population figure of 40 million this means that on average £874,000,000 of cash is spent in the UK daily; cash should be seen as a great survivor.'