The upper limit for contactless card payments has risen to £30 as the payment method continues to grow in popularity.
Payment terminals are being updated this month to accept the new limit.
The new £30 payment limit has been introduced in recognition of the popularity of contactless spending, and as the number of contactless cards in circulation rises, UK Cards Association CEO Graham Peacop said.
In total, £2.5bn was spent on contactless cards and devices in the first half of 2015, compared to £2.32bn for the whole of 2014.
“Contactless payments are fast, easy and secure. With more contactless cards in wallets than ever before and a growing number of retailers accepting contactless payments, we have seen a huge rise in the number of payments being made,” Peacop added.
“The growth in contactless payments shows people want to use contactless cards and increasing the limit gives customers even more opportunities to pay in this way.”
There are currently more than 69 million contactless payment cards in circulation and the decision to raise the limit was taken after “extensive consultation with all of the parties in the cards payments industry.”
Visa Europe, MasterCard UK & Ireland and American Express have all welcomed the announcement.