LONDON (Feb 2): The Bank of England (BOE) said on Monday that it will launch a public consultation in the coming months on how consumer payments should work in the future, including making it easier for people to pay electronically without using a debit or credit card. Cash is used for less than 10% of payments in Britain while debit and credit cards account for nearly two thirds of transactions, making US firms Mastercard and Visa effective gatekeepers most day-to-day financial activity. Breeden said greater competition might lower transaction fees for smaller retailers — which typically pay four times as much as the largest chains — and provide greater resilience against cyber attacks and other risks. She gave the speech at a conference hosted by financial events company City & Financial Global, and was asked by one audience member if Britain's strategy echoed sovereignty and security concerns elsewhere in Europe. Any new payment options were unlikely to fully displace debit and credit cards, as other countries such as Sweden, India and Brazil had multiple options co-exist, she added.
