Donegal bucks the trend as cash withdrawals drop

New figures from the Banking and Payments Federation Ireland Payments Monitor. revealed that over 1.6 billion contactless point of sale (POS) payments, valued at over €30 billion, were made in shops, restaurants and other retail outlets in the South 2025.

This was an increase of 6.8% and 12.6% in contactless payment volumes and values respectively, compared to 2024.

Contactless payments accounted for 88.7% of all POS card payments in 2025 with more than 60% (62.4%) of all contactless payments made using mobile wallets such as Apple Pay or Google Pay, rather than cards.

Conversely, the number of cash withdrawals, fell by 7.1% year on year to 82.2 million in 2025, while the value of withdrawals fell by 4.2% to €12.2 billion.

This trend was reflected across the country with the value of cash withdrawn falling in every county except Donegal, where the value was unchanged.

Speaking on the publication of the latest Payments Monitor, Gillian Byrne, Head of Payments, BPFI said the report highlights the continued popularity of contactless payments among Irish consumers, which accounted for almost 90% of all point of sale (POS) card payments made in shops, restaurants and other retail outlets in Ireland last year.

"Notably, of the 298 contactless payments made per person in Ireland on Irish cards in 2025, 159 were made through mobile wallets, highlighting how smartphones are becoming the preferred payment method over physical cards for many Irish consumers.”

She continued: “On the other hand, while contactless payments activity continues to grow, cash withdrawal activity, including ATMs and cashback in shops, has declined. The number of cash withdrawals using cards fell by 7.1% year on year to 82.2 million in 2025, while the value of those withdrawals fell by 4.2% to €12.2 billion. This trend was reflected across the country with the value of cash withdrawn falling in every county except Donegal, where the value was unchanged. The contrasting trends in contactless payments and cash withdrawals are also evident in the relative value of transactions. For every €1 in cash withdrawn in 2025, €2.46 was spent in contactless payments, up from €1.70 in 2023.”

The report was published ahead of the BPFI National Payments Conference on March 5 at The Convention Centre Dublin, which will explore further, how the payments landscape is evolving driven by new technologies, regulatory change and the demands of the digital economy.