Contactless payment limits: Financial Conduct Authority consults about increasing it to above £100

New ideas have been put out in a consultation by the Financial Conduct Authority, which is suggesting that card providers should be the ones to decide what is best for both themselves and their customers.

The contactless card limit has been gradually raised over the years, currently standing at £100. In 2007, the limit was £10, andit rose to £15 in 2010, £20 in 2012, £30 in 2015, £45 in 2020, and £100 in 2021.

The proposals are out for consultation until October 15 this year.

Many card providers already offer customers the ability to adjust their personal contactless limits or turn off contactless functionality on their card altogether. The FCA said it is encouraging firms to continue to offer their customers this choice.

David Geale, executive director of payments and digital finance at the FCA, said: “We’re seeing smarter payment technology and more well-established fraud controls, so it’s the right time to let firms tailor contactless payments to fit their customers’ needs and drive innovation. While we wouldn’t expect to see immediate changes to limits by firms, they would have the flexibility to make payments more convenient for customers.

“People are still protected; even with contactless, firms will refund your money if your card is used fraudulently.”

Contactless card payments have the same protections as other card payments, meaning banks and payment firms must reimburse unauthorised fraud cases, such as when a customer’s card has been lost or stolen.

UK Finance’s Annual Fraud Report 2025 estimates that contactless fraud rates are currently low, the regulator said, at around 1.3p per £100 spent on contactless transactions – compared with 6p per £100 for all unauthorised fraud.

The move is one of around 50 measures that the regulator outlined in a letter to the Prime Minster in January to help support economic growth.