Market Size of United Kingdom Real Time Payments Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 11.45 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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UK Real Time Payments Market Analysis
The UK real-time payments market is anticipated to grow with a CAGR of 11.48% on the back of increasing demand for easy and cheap payment options by consumers to access real-time payments. Real-time payments have been possible in the UK since 2008 under the Faster Payments scheme. However, despite the significant head start, the market's development has been markedly slower than those in the developing world.
The UK recorded 3.4 billion real-time transactions in 2021, which resulted in an estimated cost savings of USD 950 million for businesses and consumers. This helped unlock USD 3.2 billion of additional economic output, representing 0.10% of the country's GDP.
With real-time transactions rising to 5.8 billion in 2026, net savings for consumers and businesses are forecast to climb to USD 1.8 billion. That would help to generate an additional USD 3.8 billion of economic output, equivalent to 0.11% of the country's forecasted GDP. That means the potential economic benefits of real-time payments remain untapped.
According to the Cebr, the theoretical impact of all charges being real-time could add 2.7% to formal GDP by 2026. Payments in the UK are still very much tied to traditional tools - especially cards - despite being easy and cheap for consumers to access real-time payments.
During the COVID-19 pandemic, a relatively strong real-time payments mix share (9.2% of all transactions), in 2021, net benefits for consumers and businesses of real-time payments hit USD 950 million in the United Kingdom.
The largest component of this was net savings through the transaction costs within the payments system. On a per-transaction basis, real-time payments in the UK currently have a 14.1% lower average payments cost than the weighted average mix of all non-real-time prices.
