Buy now pay later adoption grows in the UK ahead of new rules coming into play on Wednesday
Analysis from Experian reveals that buy now pay later (BNPL) continues to grow in popularity across the UK. From 15th July, the Financial Conduct Authority (FCA) will begin to regulate the sector for the first time, introducing new consumer protections including clearer information, affordability checks, and access to support if they get into difficulty with repayments.
A look at Experian’s datasets found there were more than 100 million BNPL transactions across 8.5 million customers in 2025, worth more than £7 billion in spending. Of that spend, 98.5% of balances were repaid on time. Its popularity is continuing to grow. In March 2026, more than nine million transactions were recorded across nearly four million consumers, worth £621 million. Average transaction values remain modest at around £60.
Users of BNPL aren’t just younger consumers. While 25-34 year-olds remain the largest user group, adoption continues to expand across all age ranges, with particularly strong growth among older demographics. Customer volumes among those aged 65-74 have increased 46% year-on-year, while usage among consumers aged 75 and over has grown 53%.
John Webb, Head of Consumer Affairs, Experian UK&I, says: “It’s clear people of all ages have enjoyed the convenience of BNPL, helping them managing their monthly budgets affectively and without getting into difficulty. As with all forms of borrowing, it’s important to be aware of the commitments you’re taking on and keep a close eye on what your repayments will be. And remember that each time you open a new BNPL account, it will appear on your credit report, which lenders may consider when you apply for new borrowing, such as a loan, credit card or mortgage.”
2026 RTIH Innovation Awards
Payments will be a key focus area at the 2026 RTIH Innovation Awards.
The awards are now open for entries and celebrate global retail technology innovation in a fast moving omnichannel world.
Our winners will be revealed at the 2026 RTIH Innovation Awards Ceremony, taking place at The HAC in Central London on Wednesday, 4th November.
Check out our 2025 winners here.
Our 2025 hall of fame entrants were revealed during a sold out event which took place at The HAC on 16th October and consisted of a drinks reception, three course meal, and awards ceremony presided over by award winning comedian, actress and writer Tiff Stevenson.
In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “This is the awards’ fifth year as a physical event. We started off with just 30 people at the South Place Hotel not far from here, then moved to London Bridge Hotel, then The Barbican, and last year RIBA’s HQ in the West End.”
“But I’m conscious of the fact that, to quote the legend that is Taylor Swift, You’re only as hot as your last hit, baby. So, this year we’ve moved to our biggest venue yet, and also pulled in our largest number of entries to date and broken attendance records.”
He added: “This year’s submissions have without doubt been our best yet. To quote one of the judges: The examples of innovative developments across both traditional and digital retail spaces were truly remarkable.”
Congratulations to our winners, and a big thank you to our sponsors, judging panel, the legend that is Tiff Stevenson, and all those who attended our 2025 gathering.
