Budget: The UK’s contactless payment limit lifted to £100
Rishi Sunak will today lift the limit on contactless payments to £100 in a bid to boost the UK’s ailing retail sector.
The previous limit on contactless payments was £45, however the Financial Conduct Authority (FCA) conducted recommended lifting the cap after a public consultation.
“As we begin to open the UK economy and people return to the high street, the contactless limit increase will make it easier than ever before for people to pay for their shopping, providing a welcome boost to retail that will protect jobs and drive growth across the capital,” Sunak said.
The increase comes alongside several other measures in the Budget designed to help bricks and mortar retail, including a £5bn fund for businesses forced to close during the latest lockdown.
Sunak will also extend the furlough scheme until September, meaning the wage subsidy scheme will run for months after Covid restrictions are expected to end in June.
The scheme currently sees the government pay 80 per cent of employees’ wages, up to £2,500 a month, for hours not worked due to the Covid lockdown.
Sunak’s extension will see the same terms until the end of June, before paying 70 per cent of wages in July and 60 per cent in August and September.
“There’s now light at the end of the tunnel with a roadmap for reopening, so it’s only right that we continue to help business and individuals through the challenging months ahead – and beyond,” Sunak said.
The package of measures announced today will try to prop up High Streets that have been ravaged by the pandemic.
Figures from The Centre for Retail Research shows the retail sector lost 180,000 jobs last year alone.