The Reserve Bank of Australia published analysis of the 2025 Consumer Payments Survey showing that transactional cash use has stabilised after a long decline, with cash still playing a material role in day-to-day payments and as a backup when electronic methods are unavailable. The survey indicates that around one-third of Australians would face hardship or major inconvenience if cash became difficult to access or if merchants stopped accepting it. In 2025, around 15% of payments by number were made in cash (around 8% by value), rising to 19% by number and 16% by value for in-person payments. Around half of Australians used cash in a typical week, with around 7% of respondents using cash for at least 80% of their transactions, and older Australians and lower income households tending to use cash more often. Three-quarters of respondents held cash in their wallet (median around AUD 65) and around two in five held cash outside their wallet, largely for unexpected transactions and to manage outages; perceived convenience of withdrawal and deposit services fell compared with 2022 alongside a decline in bank branches and bank-owned ATMs, while around three-quarters of card-accepting merchants also accepted cash but many reported operational challenges. The article notes related policy developments including the Australian Government mandate for grocery stores and petrol stations to accept cash from 1 January 2026 (with exemptions for certain small businesses) and the Reserve Bank of Australia’s announced removal of surcharging on designated payment networks from 1 October 2026, which it expects could have a modest effect over time on cash usage. A further Bulletin article is planned to examine electronic payment use.
Reserve Bank of Australia 2026-04-20
Reserve Bank of Australia survey shows cash use stabilised at 15% of payments and one-third would face hardship if access declined
The Reserve Bank of Australia’s 2025 Consumer Payments Survey shows transactional cash use has stabilised, with cash still used for day-to-day payments and as a backup. Around one-third of Australians would face hardship or major inconvenience if cash access or acceptance were constrained. In 2025, cash made up about 15% of payments by number (8% by value), with higher use among older and lower income Australians. Perceived convenience declined amid fewer bank branches and bank-owned ATMs, and merchants reported operational challenges despite broad acceptance. Policy measures include a government mandate for cash acceptance at grocery stores and petrol stations from 1 January 2026 and the RBA’s removal of surcharging on designated payment networks from 1 October 2026, expected to have a modest impact on cash usage.