What changed
Until March 2026, FCA rules effectively capped single contactless card payments without a PIN at £100. From 19 March 2026, banks and payment firms with strong fraud controls can set their own limits instead of a single fixed figure. They may also let customers choose their own personal limit or turn contactless off.
It’s a permission, not a new limit: many issuers have kept £100 for now, and others may change over time. So two customers buying the same £120 item may get different results at your till.
What it means at the counter
- Expect variety: some cards will go through contactless above £100, others will ask for chip and PIN.
- Phones and watches are unchanged: mobile wallets like Apple Pay and Google Pay verify the customer with Face ID, fingerprint or a passcode, and were never capped at £100.
- Chip and PIN still matters: keep a terminal that takes chip and PIN for cards that decline contactless. Tap to Pay on a phone is contactless only.
- Fraud protection for customers is unchanged: issuers generally refund cardholders for unauthorised payments.
What to check with your provider
Ask whether your terminals are up to date and support higher contactless amounts where the card allows it. Most modern terminals handle this automatically through software updates, but older hardware may need replacing. If you’re reviewing terminals anyway, compare options on our card machine comparison.
Businesses that benefit most
Higher-value everyday purchases see the biggest change: fuel, larger grocery shops, restaurant bills and trade counters. Faster payments mean shorter queues, but it’s worth reminding staff that a card asking for PIN isn’t faulty.
Last updated: 16 October 2026
