One-third of UK adults are now using BNPL
45 per cent of respondents in Clearpay’s research said they found BNPL less stressful than credit cards
‘Buy now, pay later’ is on the up across all age groups according to recent research, with around 30 per cent of British adults having used it at least once in the last year.
According to new research from BNPL Clearpay (known as Afterpay outside the UK), the service is most popular among millennials and Gen X, but 78 per cent of all respondents found it helped reduce the stress of spending on large purchases.
When comparing BNPL to other forms of credit available, 45 per cent of people found it less stressful than borrowing on a credit card — with just 10 per cent of people finding credit cards less stressful — and 78 per cent found it cheaper than other options.
“Fresh data like this is incredibly valuable for the future of the UK credit market, as it tracks the impact of the latest payment innovations,” Clearpay UK Country Manager Rich Bayer said.
“Thanks to BNPL, splitting a purchase over multiple payments no longer has to come with the stress of high-interest rates or the risk of revolving debt. It’s no surprise that it has now become a preferred everyday payment option trusted by consumers from all generations.”
The research also showed that Clearpay has contributed almost £1bn (£904m) in additional sales to merchants in the UK since it was founded in August 2022, saving them around £100m through gains including lower fraud rates and improved order processing.
Last month, research from UK Finance’s Payment Market Report found that while 18-24 year olds were continuing to delve into BNPL, with roughly a third using it at least once a month, engagement with users aged 65 and over had also doubled, contributing to the overall increase in BNPL use.