In preparation for the launch of Apple Pay in the UK next month, some retailers are looking to remove the current £20 limit on contactless payments.
Currently, any contactless payment over £20 is declined, one of the major reasons Tesco, ASDA and other stores—where the average payment is over £20—have not added contactless payment machines.
The limit is transitioning to £30 later this year, but some retailers plan on ditching the limit altogether. The extra security provided by Apple Pay changed some retailer opinions on contactless payment, previously worried about the potential security threats.
Apple Pay is supported by eight major banks, Barclays being the only major bank to not support the payments service. 250,000 retailers are on board with the launch too, a higher amount than in the US at launch last year.
Even with the limits on contactless payment, the UK has been more embracive of the new technology compared to the US. That said, the UK has been less supportive of the iPhone, with more market share for Android and Windows Phone.
Contactless payment providers are intrigued by Apple’s move into the UK. Partnerships with Marks and Spencer, Boots and Transport for London have clearly peaked the interest of smaller payment services, who may be able to use the newfound love for contactless payment to push their own business.
Apple Pay will launch on the iOS 8.1.4 update coming in July for iPhone owners in the UK. Apple announced new store, loyalty and reward cards for users, available on the new Wallet app coming to iOS 9.