Digital payments add GBP £88bn to UK sales, study finds

Digital payments have generated £88 billion in additional sales for UK businesses since 2019, according to Visa-backed research by Public First.

The study found this uplift was equal to about £2,500 per business each year over the period. It also estimated that digital payments contributed £7.5 billion to the UK economy in 2024.

The findings add to a wider debate over how payment systems affect business activity, consumer spending and technology adoption across the UK economy. Visa and Public First argued that further gains will depend on a regulatory environment that supports investment and allows newer tools, including stablecoins and artificial intelligence, to expand with safeguards.

According to the research, the UK could add a further £3.8 billion in gross value added by 2030 if competition and investment in the payments sector strengthen. Broader use of digital payments by small and medium-sized enterprises could unlock another £5.1 billion a year, while faster adoption of AI across payment technologies could add £4 billion a year in economic activity from 2030.

Trust and fraud

A large part of the report focuses on trust and security in payments. It argues that secure transactions encourage consumers to keep spending and give businesses more confidence to adopt a wider range of digital technology.

Among businesses surveyed, 79% said secure payments are central to broader technology adoption. The study also estimated that 455,000 businesses may have paused the take-up of new digital tools because of fraud.

For consumers, the report pointed to a direct effect on spending after fraud incidents. It estimated that fraud leads to £16 billion in lost consumer spending each year, with spending falling by 35.1% for six months after a fraud event.

That finding suggests payment security affects more than the financial sector, extending into retail demand and broader economic activity. It also reinforces the argument from payment companies and policymakers that resilience and fraud prevention are tied to growth as well as consumer protection.

Visa said it has invested £8 billion globally in payments resilience over the past five years, linking that spending to the need to maintain confidence in digital transactions as more businesses and consumers move away from cash and manual processes.

Commenting on the findings, Rob Cameron, Group Country Manager for UK & Ireland at Visa, said: "The UK has built one of the world's most advanced digital payments economies, but the biggest opportunity is still ahead of us. This report shows the scale of the potential: billions of pounds in additional growth could be unlocked by helping more businesses digitise, accelerating technologies like AI and creating the conditions for continued investment and innovation.

"Digital payments are the invisible infrastructure behind the UK economy, and that only works if people trust it completely. Trust is hard-won and easy to lose. Visa has invested £8bn globally in payments resilience over the past five years because trust is fundamental to that growth. Every fraud event costs momentum: consumers spend less, businesses hesitate to invest and digital transformation stalls. Get that balance right, and payments can be an even more powerful engine for growth."

Policy focus

The research comes as payment providers, banks and technology groups seek clearer rules for new forms of digital finance. Stablecoins and AI are emerging as two areas where companies want regulatory certainty, while officials face pressure to balance innovation with safeguards for financial stability and consumer protection.

Public First said the UK retains a strong position in payments technology but faces stronger competition from other markets. The consultancy pointed to a need for industry, government and regulators to work together if the country is to preserve its standing.

"The UK has been a world leader on payments and payments technology, and our research points to real opportunities to further build on that success. There's growing scope for industry, government and regulators to work together, quickening the pace of innovation so the UK stays ahead as competition from emerging markets continues to grow," said Neil Ross, Partner at Public First.