Sweden Reverses Course: Cash Returns as a Matter of Survival, Inclusion and Security. Sweden, once celebrated as the world's frontrunner in going cashless, is now taking legal steps to safeguard the role of cash in society.
Back to cash: life without money in your pocket is not the utopia Sweden hoped. In 2018 a former deputy governor of Sweden's central bank predicted that by 2025 the country would probably be cashless. Seven years on, that prediction has turned out to be pretty much true.
The UK is moving towards a cashless society, but unless policymakers act carefully, digital payments could make life harder for the elderly, the poor, or anyone left out of the digital revolution, experts have warned.
Sweden has officially become the world's first cashless country, setting a global benchmark for digital financial transformation. The nation's citizens now rely almost entirely on mobile payments, cards, and phone taps for everyday transactions, effectively replacing physical money with digital convenience.
Cash makes a comeback in Sweden as digital payments face backlash
Which country is 100% cashless?
Sweden has officially become the first country in the world to go completely cashless. Almost every shop, café, and public transport system in Sweden now accepts only digital payments like cards or mobile apps. The popular app “Swish,” launched in 2012, is used by millions of Swedes to send and receive money instantly.
The claims appear to have sprung from reports that the Nordic countries have started advising citizens to keep a supply of cash at home in the case of a digital banking crisis. A false narrative spreading online claims that Norway and Sweden are doing away with e-money and are returning to a fully cash-based society.
Over the coming years, it is likely that alternative digital payment methods will become ever more widely accepted and used. In fact, in 2017, debit cards overtook cash as the most frequently used payment method in the UK. Even so, many people will continue to use cash in their daily lives.
To put it abruptly, yes, shops in the UK can legally refuse cash payment. While cash is considered a legal tender, businesses have no legal obligation to accept it and have the right to set their own payment policies.
Hong Kong. Hong Kong is quickly heading towards a cashless society, with initial predictions even suggesting that 2025 could be the year that the country goes fully cash-free. ...
Sweden. Sweden is one of the countries at the forefront of the cashless movement. ...
While Sweden is free from large-scale insurgencies, rising gang violence has emerged as an ongoing and growing concern. The number of deadly shootings and arson and bomb attacks has surged in many Swedish cities in recent years: according to 2021 UN data, Sweden had one of the highest gun death rates in Europe.
One way to examine the issue is to compare state help provided by the British government to one which traditionally charges much higher taxes: Sweden. Swedes support the second-highest tax burden in the world - after Denmark's - with an average of 48.2 per cent of GDP going to taxes.
The doctrine is intended to enable territorial defence against armed aggression, ensure sovereignty, protect the population, and maintain the state's essential functions in times of aggression and war. In practice, this means that if Sweden is attacked, every citizen aged 16 to 70 is obliged to defend the homeland.
Today, the country is once again leading a financial revolution — this time by nearly eliminating cash altogether. According to the Swedish central bank, only 8% of the population used cash in 2022, and the amount of physical currency in circulation has dropped by half since 2007.
Sweden, once celebrated as the world's frontrunner in going cashless, is now taking legal steps to safeguard the role of cash in society. Policymakers and the central bank have come to see that physical money is a vital tool for social inclusion and national security.
The risk of other crimes such as identity theft, account takeovers, and fraudulent transactions will also increase when digital payments become the only option. Many banks are also relying on outdated infrastructure with decades-old IT systems increasing the risk of glitches, crashes, and mistakes.
All major supermarkets remain publicly “committed” to accepting cash in stores. However, some have begun phasing out cash payments across other parts of their businesses. For example, Asda made 96 of its petrol stations card-only in 2024 by removing the manned kiosk from forecourts.
There is also a practical security advantage with cash. Although debit and credit cards often have personal identification numbers (PIN) and chips for extra security, there is less risk of identity theft or your information getting stolen online when using cash.
It is not illegal to keep cash at home in the UK, but it should be stored securely to mitigate risks. The amount of cash to have on hand varies, but a small amount for emergencies is recommended while keeping most in a secure bank account.
Not yet. However, a 2024 report from the International Monetary Fund suggests that we might not be too far away from seeing the first. It suggested that Sweden would be the first completely cashless economy as soon as the end of 2025. This is unlikely to happen now, though.
Around the world, cards and apps are the default way to pay – but nowhere is the transition away from cash more obvious than in Sweden. The Bank of Sweden notes that the amount of cash in circulation in the country has halved since 2007.
While the Bible does not explicitly mention a cashless society, Revelation 13:16-18 refers to a system of control involving buying and selling that some interpret as a future possibility. Isaiah 55:1 alludes to a model of exchange without monetary constraints.
