Tag Archives: smartphones

The dash from cash: can public transport providers balance the needs of staff and customers?

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One of the unexpected repercussions of the coronavirus outbreak has been an increased use of card, mobile and contactless payments instead of cash. Concerns about handling money during the pandemic have prompted shops and public transport services to encourage customers to use contactless payment methods. However, many people relying on public transport to access work and health services have no alternative but to use cash.

A brief history of contactless payments

Contactless payments include credit and debit cards, key fobs, closed loop smart cards and other devices, including smartphones. These applications use radio-frequency identification (RFID) or near field communication (NFC) for making secure payments. An embedded circuit chip and antenna enable consumers to make a payment by holding their card or device over a reader at a point of sale terminal.

The first contactless payment was made available in the United States at the end of the 1990s. In the UK the first contactless cards were issued in 2007.

The UK’s public transport contactless revolution began in 2014, when it became possible to access London’s Tube network, Docklands Light Railway (DLR), London Overground and most National Rail services using only a bank card. By 2019, payments with contactless bank cards or mobiles made up 60% of all Tube and rail pay-as-you go journeys in London. Public transport authorities elsewhere in the UK have followed London’s lead.

The move towards cashless payments

Even before the current public health emergency, cash payments in the UK were in decline. In the past few years, there has been a shift towards the use of debit cards, while contactless payments have soared:

  • in the ten years up to 2019, cash payments dropped from 63% of all payments to 34%;
  • in 2017, contactless payments increased by 99% to 4.3 billion;
  • in the same year, 3.4 million UK consumers managed their spending almost entirely without using cash.
  • by 2028, forecasts suggest that fewer than one in 10 UK consumer payments will be made using cash.

The emergence of chip and pin, contactless cards, digital wallets and mobile apps has made many aspects of our lives much more convenient, notably when paying bills, purchasing goods and using public transport.

But although more and more people are moving away from cash payments, 2.2 million people rely almost wholly on cash – up from just 1.6 million in 2014. A Bank of England review in 2019 found that around eight million people  would find life “near impossible” without cash.

How Covid-19 is changing public transport

With high numbers of people in confined spaces and a large number of common touch points such as handrails and ticket machines, buses and trains are potentially high risk environments for Covid-19 transmission. At the same time, public transport is critical for sustaining the economy, and ensuring that people have access to shops, services, work and health care.

Public transport authorities around the world have been responding to the emergency in a number of ways, including increased disinfection and sanitisation, and encouraging physical distancing between passengers. Another key measure adopted by public transport bodies has been an acceleration away from cash payments and towards contactless and mobile ticketing.

While some bus operators have announced that they will no longer accept cash payments, others have warned that drivers could face disciplinary action if they refuse cash. Earlier this year, the trade union representing bus workers called for the abolition of cash payments on all UK buses to reduce infection rates among drivers.

Serving the ‘unbanked’

A recent webinar organised by Intelligent Transport explored the implications of the coronavirus public health emergency for public transport. One of the key points was that public transport operators now need to maintain a balance between protecting their staff while meeting the needs of passengers who may have no alternative but to make cash payments.

The webinar heard that there is a growing sense among public transport operators of a shift in perception concerning cash payments as a result of the global pandemic. However, cash payments remain vital for the 1.3 million UK adults who do not have a bank account (the ‘unbanked’), many of whom are on low incomes. Contactless cards may be unaffordable for lower-income passengers, while many unbanked passengers worry that contactless credit cards could lead to accidental overdraft.

As the webinar noted, public transport providers have been trying to overcome these obstacles. Some have continued to accept cash payments, while others have offered passengers their own prepaid cards that can be topped up with cash in shops or transport stations.

Final thoughts

It’s likely that public transport authorities will continue the drive towards cashless and contactless payment. Lower maintenance costs, speed and flexibility are some of the advantages provided by contactless applications, and transport companies can also benefit from the data on transport usage generated by electronic payment systems.

However, the migration from payments using physical money risks leaving over a million UK citizens behind. In the ‘new normal’ for a world living with the coronavirus, transport organisations will have to find innovative ways to balance the safety of their staff with the needs of their passengers.

Further reading
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Are smartphones damaging young people’s mental health?

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by Stacey Dingwall

Last week saw the launch of Universities UK’s #stepchange campaign – a framework that aims to help universities support the mental wellbeing of their student populations. In their case for action as to why the framework was needed, the organisation noted that recent years have seen an increase in the number of student suicides in the UK and the US, as well as an increase in the number of students reporting mental health issues.

Both countries rank in the top 10 in terms of smartphone users across the world, with close to 70% of each country’s population being smartphone owners. And within that percentage, 18-24 year olds are the highest using age group.

Smartphone dependence and its impact

Earlier this year, the Royal Society for Public Health (RSPH) released a report that looked at the impact that the ubiquity of smartphones is having on young people’s mental health, focusing on their social media activity. Some of the headline figures from the report include the fact that over 90% of the 16-24 age group use the internet for social media, primarily via their phones. It is also noted that the number of people with at least one social media profile increased from 22% to 89% between 2007 and 2016. Also on the increase? The number of people experiencing mental health issues including anxiety and depression.

Can rising anxiety and depression rates really be linked to increased internet and smartphone use? The RSPH report notes that social media use has been linked to both, alongside having a detrimental impact on sleeping patterns, due to the blue light emitted by smartphones. This point came from a study carried out at Harvard, which looked at the impact of artificial lighting on circadian rhythms. While the study focused on the link between exposure to light at night and conditions including diabetes, it also noted an impact on sleep duration and melatonin secretion – both of which are linked to inducing depressive symptoms.

So what’s the answer? Smartphones aren’t going away anytime soon, as seen in the excitement that greets every new edition of the iPhone, a decade on from its launch. With children now being as young as 10 when they receive their first smartphone, parents obviously have a role in moderating use. This inevitably becomes more difficult as children grow up, however, and factors such as peer pressure come into play. And it’s also worth acknowledging that heavy smartphone use isn’t restricted to the younger generation – their parents are just as addicted as they are.

Supporting children and young people

In February Childline released figures which stated that they carried out over 92,000 counselling sessions with children and young people about their mental health and wellbeing in 2015-16 – equivalent to one every 11 minutes. Although technology clearly has its impact – the helpline has also reported a significant increase in the number of sessions it carries out in relation to cyberbullying – the blame can’t be laid completely at its door. Although the world has gone through turbulent times in the past, it’s been well documented recently that today’s young people have it worse than their parents’ generation, particularly in terms of home ownership and job stability. Others have pointed towards a loss of community connections in society, and children spending less time outdoors than previous generations – not only due to devices that keep them indoors but also hypervigilant parents.

In fact, perhaps we hear more about mental health issues experienced by children and young people because smartphones and social media have given them an outlet to express their feelings – something previous generations didn’t have the ability to do. What we should be focusing on is how to respond to these expressions – something we’re still not getting right, despite countless reports and articles making recommendations to governments on how they can do better in this area.

Follow us on Twitter to see what developments in public and social policy are interesting our research team. If you found this article interesting, you may also like to read our other articles on mental health.