The advent of online e-commerce and entertainment platforms has significantly changed how people make payments. Whether you’re purchasing a product online, subscribing to a streaming service, or depositing funds into an online casino account, payments must be fast, secure, and seamless.
The UK has adopted online payments in spectacular fashion. Each year, an estimated £110.6 billion is spent online through various digital channels. These payments are processed by several licensed payment providers offering quick, safe service.
However, some payment methods and providers are preferred over others because they are more accessible, easier to use, or simply due to consumers’ personal preferences. Let’s take a closer look at the most popular payment methods Brits use when performing transactions online.
Debit Cards (Visa and Mastercard)
The king of payment methods is the humble debit card. Issued predominantly by Visa and Mastercard, these cards are used by 91.7% of Brits spending money online. In 2023, Visa recorded an average of 65.3 million transactions daily.
The overwhelming reason for this is the availability of this payment method. Almost every debit card issued internationally is done so by either of the two companies, with Visa issuing 2.9 billion cards worldwide. Mastercard followed closely with 2.89 billion across Mastercard and its subsidiary brand, Maestro.
Mimicking the availability of access to cards issued by the two super-brands, debit cards are also among the most widely accepted payment methods online. Almost all online retailers, casinos, booking sites, and streaming services accept debit cards.
PayPal
Despite being an American brand, PayPal has gained massive traction in the UK. Launching in the region in 2003, PayPal was one of the first digital wallets widely available to the masses. The easy registration and great features it provided were unparalleled at the time.
Today, millions of merchants accept PayPal as a secure payment method, and consumers can make payments using funds already in their wallet or by charging a debit or credit card linked to their PayPal account. The payment method was used more than 6.8 billion times internationally in 2023, with the UK recording 56.20 million users.
Apple Pay
Apple’s iconic iPhone has been the mobile device of choice in the UK for several years. Holding a market share of around 56.1%, more Brits use it than any other brand. Packed into the device’s features is the iconic Apple Pay payment method.
Apple Pay, which launched in October 2014, is extensively used by UK consumers, with 63% of residents using the payment method. Due to its popularity, it is widely supported by online merchants, particularly online casinos offering mobile platforms for punters to try their luck.
Samsung Pay (Samsung Wallet)
Trailing behind Apple, Samsung is the second most widely used mobile device in the UK. Around 30% of Brits use a Samsung Galaxy device equipped with the brand’s payment method, Samsung Pay. Configured through Samsung Wallet, the provider operates in the same manner as Apple Pay and allows users to make quick payments by linking their debit or credit card to the app.
In the UK, more than 400,000 places accept Samsung Pay. These include many online stores, with sites in the iGaming industry slowly beginning to adopt support for the provider as well. Thanks to its growing popularity, almost 9% of digital payment users used the provider in 2023.
Skrill
Launched under the name Moneybookers, Skrill has quickly grown to become one of the most popular e-wallet brands in the world. Operating in more than 100 countries, the digital wallet has more than 120,000 registered merchants, with online casinos among the highest users.
In the UK, around 2% of residents making digital payments online use the platform. Due to its popularity, the e-wallet is one of the most widely supported payment methods besides PayPal and is a preferred payment method for many UK consumers.
Pay by Phone Bill
Many who browse this site will think that making payments by adding them to your phone bill is a form of outdated technology. However, in the UK, making payments this way is still a popular way to settle your bill or make a deposit.
Pay by phone is still widely supported by many websites and allows consumers to add the cost of the item they’re purchasing or the deposit they’re making to their monthly bill. The downside to this method is it can be seen as a form of credit, as it only needs to be paid at the end of the month.
With many Brits struggling to pay essential services such as phone bills in recent years, some may not consider this the ideal payment method. However, its convenience cannot be overlooked.
Bank Transfer
Bank transfers remain one of the most popular ways to transact in the UK despite the additional effort required to process a transaction. This method requires signing into your bank’s online banking platform and specifying the amount you’d like to transfer and the details of the account to which it should be transferred.
In the 2023 financial year, statistics from the Bank of England record that more than £71.7 billion was moved across the UK using bank transfers. Payments using this method are supported by many websites and retailers, particularly those that deal with large transactions.
Cryptocurrencies
As of 2023, around 3.3 million adults in the UK actively used cryptocurrency when transacting online. With the popularity of crypto constantly ebbing and flowing, many have questioned the viability of the payment method as a long-term provider.
However, with minimal fees, instant transactions, and the security of blockchain technology, many Brits prefer to use crypto whenever it is available as a payment method. The increasing support for crypto transactions, particularly in sectors like iGaming, has also increased the frequency with which payments are completed using the controversial currency.
