18-24 year olds are the highest users of cash in Ireland

An Post research finds that despite the rise of digital payments, cash remains a preferred method of payment for Irish consumers

• Cash usage far from obsolete with 35% of 18-24 year olds using cash at least once a day versus 26% of 35-44 year olds
• Just 2% of adult population claim to never use cash
• 8 in 10 adults always carry cash in case of an emergency
• Top cash uses: Buying Groceries or Small Purchases (44%), Gifting (38%), Tipping (37%), Travelling (35%)

New research from An Post has revealed that despite the growing adoption of digital payments, cash remains a preferred payment method for many consumers, particularly among younger generations. The nationally representative survey, conducted by Empathy, found that nearly three in ten adults (28%) use cash at least once a day, with a further one in ten using it 4 to 6 times a week.

Younger Generations' Continued Affinity for Cash

Despite the rise of contactless payments through mobile wallets, young adults aged 18-24 are the biggest users of cash, with 35% reporting that they use cash daily. In comparison, just 26% of those aged 35-44 use cash on a daily basis, indicating a higher adoption of digital payment methods in this group. Only 2% of respondents claimed to never use cash.

Cash Usage Habits

44% of respondents reach for cash most often when buying groceries and small purchases, while 38% use cash most often when gifting to loved ones. Irish consumers are using cash most often for tipping in bars and restaurants (37%), tipping hairdressers, barbers or beauticians (30%) or for paying tradespeople, gardeners or cleaners (17%). Cash is also prevalent when travelling, with 35% reaching for cash when travelling abroad or in Ireland, whilst 1 in 5 use cash on public transport.

 

Gifting is the second most common use of cash over card, with 38% choosing to gift cash. 4 out of 5 35-44 year olds would gift cash to a child as a present, with 2 in 5 adults always gifting cash for a teen’s birthday, and 1 in 5  would always gift cash for an adult’s birthday. This research also noted the rise of the Carta Cúig (€5 in a card as a present for a child), with 12% of 35-44 year olds using cash for this initiative. 

 

Speaking on the benefits of cash usage, Brendan Moran, Director of Distribution – Retail at An Post commented: “While digital payments continue to rise, this research confirms that cash will remain an important part of the Irish economy. Cash offers a range of benefits, from supporting small businesses and facilitating gifting, to helping individuals manage their finances. It’s clear that cash continues to play a vital role in our communities."

"Amid the challenges of rising living costs, cash can serve as a useful budgeting tool. Our research shows that almost half of adults (44%) believe they would have a better understanding of their spending if they were limited to using cash for a week, and four in ten say they would spend less if they used cash exclusively."

 “As Ireland’s leading provider of cash services, we are proud to support communities and businesses with cash withdrawal and lodgement services six days a week at every post office nationwide, ensuring easy access to cash for all.”

Cash as a safety net

Cash is considered a safety net for many, with 8 in 10 adults claiming to always keep cash on them in case of an emergency. Almost half (47%) of 18-24 year olds keep up to €40 emergency cash and just 1 in 10 don’t keep any emergency cash on them. A quarter of 35-44 year olds go without emergency cash.

This research revealed that 18-24 year olds were best prepared for a cash only situation with 2 in 3 finding themselves in a cash only situation where they did have cash. This compared to 27% of 45-54 year olds, who had to leave a cash only situation in the past as they had no cash.

Cash vs Digital?

This An Post survey revealed that savvy consumers are using cash to keep on top of their spending with  1 in 3 (31%) consumers choosing cash over card to avoid transaction fees and 1 in 4 using cash to budget - i.e. cash envelopes. Privacy also emerged as a clear benefit of using cash, with 1 in 5 opting for cash for privacy reasons and 1 in 5 (18%) choosing cash over card for the security it affords.

 

This research also found that consumers factor in local business preferences into their cash usage and are willing to adjust their payment method to suit business needs, with 1 in 5 consumers choosing cash over card because they know businesses prefer to be paid in this way.

Through An Post’s Everyday Banking service, AIB, Bank of Ireland and An Post customers can lodge and withdraw cash 6 days a week at over 900 post offices nationwide. With 540 Post Offices that that have no bank branch within a five-kilometre radius, An Post are proud to provide access to cash services  to communities and small businesses across Ireland.

For more information about please visit - https://www.anpost.com/Money/At-the-Post-Office/EverydayBanking