Santander has presented ten urgent demands to the Labour Party government, emphasizing the critical need for a consumer-first approach to the UK payments system. This move comes in response to new research revealing that fraud prevention stands as the public’s highest priority when it comes to future payment methods.
According to Santander’s findings, 70% of consumers feel the current payments landscape adequately serves their needs, with only 20% expressing interest in entirely new payment methods. The research also shows that 63% of people are very unlikely to use cryptocurrencies for payments, while 55% remain unaware of the digital pound initiative.
Debit cards continue to dominate everyday spending, used daily by half of all consumers, whereas credit cards are preferred for larger purchases due to their protection benefits. Additionally, 60% of consumers support money-back protections, and one in four now primarily uses mobile wallets.
Santander UK’s ‘Transacting Tomorrow’ report outlines ten priorities aimed at policymakers, regulators, and industry leaders to create a payments system that is safe, innovative, and sustainable. These priorities include:
- Putting customers first
- Making innovation commercially viable
- Renewing infrastructure
- Designing out fraud
- Favoring tokenization over retail Central Bank Digital Currencies (CBDCs)
- Empowering regulators to foster innovation
- Building consumer trust
- Streamlining regulatory oversight
- Protecting the advantages of card payments
- Ensuring government leadership
Paul Horlock, Chief Payments Officer at Santander UK, commented: “Banks remain the most trusted advocates in driving change and shaping consumer behaviour. It’s essential that the entire ecosystem—including government, regulators, banks, and fintech companies—works together to create a payment model that meets consumer needs, safeguards users, and supports viable innovation.”
Horlock added, “To fully harness the progress made, a comprehensive government strategy must acknowledge payments as a key driver of growth within the Financial Services Growth & Competitiveness Strategy. Regulators must take a more pro-innovation stance, supported by clear political backing, to keep the UK at the forefront of global financial innovation.”
Santander’s demands emphasize the importance of building a payments ecosystem that fosters economic growth, protects consumers, and maintains the UK’s position as a leader in financial technology.