News
Gift cards come top but cash is king for younger generations
New research published today by LINK, the UK’s Cash Access and ATM network, shows a gift card or voucher remains the most popular way to receive a financial gift at Christmas.
Despite a world of mobile wallets and digital payments, cash continues to be ever popular and preferred, especially among younger adults. When asked what they would prefer to receive, gift cards and vouchers (43%) was the most popular followed by cash (37%). One quarter (25%) prefer to receive a bank transfer with 11% preferring a cheque. Almost two-in-ten (19%) said they wouldn’t want a financial gift.
Cash was the most popular gift to receive for adults aged 16-24. Almost half (49%) of 16-24 years olds surveyed said they’d prefer to receive cash as a Christmas present compared to a voucher (40%) or bank transfer into their current account (36%). This group also very much welcomes payments directly into savings accounts (32%) and while many of this younger age group have possibly never signed a cheque, 19% would gladly welcome a cheque as a present too.
Alongside receiving gifts, LINK also asked about giving presents with over 8-in-10 people (81%) considering giving a financial gift this Christmas. When asked what type of financial gift people would prefer to give, the most popular present would be a gift card or voucher (45% - up on last year’s 42%) followed by cash (35%) and bank transfer at 16%.
Of those giving a financial gift, 27 per cent they’d be likely to give between £20-£50 with a further 15 per cent likely to give between £50-£100. A very lucky 2% should expect more than £500.
Christmas is traditionally the busiest time for UK cash machines, on average, customers typically withdraw around £1.5bn a week. Historically, the busiest day for cash machines on the LINK network was 22 December 2017 when £766 million was withdrawn. However, as Christmas Day falls midweek this year, last seen in 2019, LINK expects cash machines will be significantly busier across the week rather than a peak day.
Graham Mott, Director of Strategy, LINK, said: “Even though most people are now choosing to pay for things digitally or do their Christmas shopping online, it’s always nice to see that cash remains a popular gift. I’ve yet to ever meet anyone who grumbled about receiving cash in their stocking, it’s a lot easier to get presents wrong!
Christmas is always busy at cash machines with lots of people withdrawing money to pay for shopping, a round or two at the pub or as a gift. This year, as Christmas Day falls on Wednesday, leaving people a bit more time to do any ‘last minute’ shopping, we expect to see a pick up in ATM transactions starting from Friday to Christmas Eve.”
NOTES TO EDITORS
Spokespeople available upon request.
This survey was undertaken on LINK’s behalf by YouGov Plc and Enryo Consulting. All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 2134 adults. Fieldwork was undertaken between 20th - 21st November 2024. The survey was carried out online. The figures have been weighted and are representative of all UK adults (aged 16+).