Featured Pathways

More pathways

Banking Essentials - Part I

This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

More pathways

Book a demo

Pricing

Ready to get started?

Plans & Membership

Our Platform

Expert led content

+1,000 expert presented, on-demand video modules

Learning analytics

Keep track of learning progress with our comprehensive data

Interactive learning

Engage with our video hotspots and knowledge check-ins

Testing & certification

Gain CPD / CPE credits and professional certification

Managed learning

Build, scale and manage your organisation’s learning

Integrations

Connect Finance Unlocked to your current platform

Featured Content

More featured content

Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

More featured content

Book a demo

Pricing

Ready to get started?

Featured Pathways

More pathways

Banking Essentials - Part I

This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

More pathways

Book a demo

Pricing

Ready to get started?

Plans & Membership

Our Platform

Expert led content

+1,000 expert presented, on-demand video modules

Learning analytics

Keep track of learning progress with our comprehensive data

Interactive learning

Engage with our video hotspots and knowledge check-ins

Testing & certification

Gain CPD / CPE credits and professional certification

Managed learning

Build, scale and manage your organisation’s learning

Integrations

Connect Finance Unlocked to your current platform

Featured Content

More featured content

Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

More featured content

Book a demo

Pricing

Ready to get started?

Book a demo

Pricing

Ready to get started?

The Changing Role of Cash in the Economy

The Changing Role of Cash in the Economy

Sir Mark Boleat

40 years: Executive leadership & banking

The British public is using cash less, preferring to take advantage of new digital payment methods. In this video, Sir Mark Boleat explains trends in the use of cash and analyses issues arising from the move towards a cashless society.

The British public is using cash less, preferring to take advantage of new digital payment methods. In this video, Sir Mark Boleat explains trends in the use of cash and analyses issues arising from the move towards a cashless society.

Subscribe to watch

Access this and all of the content on our platform by signing up for a 7-day free trial.

The Changing Role of Cash in the Economy

10 mins 53 secs

Key learning objectives:

  • Understand how the way people pay for goods and services has evolved

  • Understand what has driven the change in the way people pay for goods and services

  • Outline the advantages of digital payments to consumers

  • Understand how LINK has addressed the issue of wholesale cash distribution

Overview:

The market is changing rapidly. Within a few years many people will carry no cash and many more retailers will not accept cash. The appropriate policy response is to seek to ensure access to cash for those who need it and to help remove the barriers to using electronic means of payment for those reluctant to use them.

Subscribe to watch

Access this and all of the content on our platform by signing up for a 7-day free trial.

Summary

How has the way people pay for goods and services evolved?

  1. Alternative payment forms introduced by banks, retailers and card companies, in turn each heavily influenced by technological developments.
  2. Wider societal changes about how people live their lives, heavily influenced by rising real incomes.
  3. Changing preferences. Some are quick to adopt new payment methods, while others tend to stick with what they know for as long as possible.

Using statistics, how has the method of UK payments changed over time?

  • In 2008, there were 23bn cash payments, 5bn direct debit payments, 2.5bn credit card payments and 5bn other types of payments (standing orders, cheques and direct payments).
  • By 2017, debit cards caught up with cash - 13bn payments by each method and 3bn credit card payments.
  • UK Finance, forecast that in 2028, there will be just 4bn cash payments and 22bn credit card payments, a complete reversal of the position 20 years earlier. Credit card payments are forecast to increase over 4bn, exceeding cash payments.

What has driven the dramatic change in the way people pay for goods and services?

  • Contactless payment cards, combined with a sharp reduction in the cost to retailers of installing the necessary equipment and ongoing costs of accepting payments.
  • More recently, alternative payment systems have been introduced i.e. Apple Pay, which works with finger-print or facial recognition.
  • The advent of internet shopping has spurred the use of non-cash payments. Goods cannot be purchased over the internet using cash.
  • The use of cash is not costless. In round terms, handling cash costs £5bn a year, most of the cost initially being borne by retailers, although ultimately all costs are borne by consumers.

What are the advantages of digital payments to consumers?

  • Speed in making payments
  • Less need to carry cash
  • Increased security - no risk of losing cash or having it stolen, and in practice, even a lost card means no loss to the consumer
  • New payment methods automatically provide and retain full details of every transaction

What are the issues arising from the declining use of cash?

  • Some people are reliant on cash, either because they do not trust new payment methods, or they are on very low incomes and budget through cash. Similarly, those seeking to hide the nature of transactions and to avoid tax are reliant on the use of cash. However from a public perspective, this move away from cash is welcomed.
  • Major banks have sharply reduced the number of their branches, new banks have been established operating entirely electronically, and in the last few years, the number of ATMs has begun to fall. Since 2017, the total number has fallen by 10%.

How has LINK addressed the issue of wholesale cash distribution?

  • Increasing the payment that card issuers make to ATM operators for low volume ATMs in more remote areas.
  • Directly commissioning ATMs in places where they are needed.
  • Formed an alliance with the Post Office which provides free access to cash in all of its 11,000 branches.
  • LINK has produced an ATM locator app showing the location of all ATMs, including whether they are free-to-use or charging, whether they issue 35 notes etc.

Subscribe to watch

Access this and all of the content on our platform by signing up for a 7-day free trial.

Sir Mark Boleat

Sir Mark Boleat

Sir Mark Boleat has held a wide range of board level appointments in the UK and Jersey. He is currently the Chairman of LINK, Eldon Insurance Services and the Governors of the City of London Academy Highbury Grove. Sir Mark is also Vice Chairman of the Advisory Board of the International Business and Diplomatic Exchange.

There are no available videos from "Sir Mark Boleat"