TfL Contactless Payments: London’s Rail Payment Revolution

Contactless payments have revolutionized Transport for London, boosting revenue by £30 million annually. Learn the secrets to streamlined operations and cost savings!

TfL Contactless Payments: London’s Rail Payment Revolution
February 22, 2017 5:27 pm
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Introduction

In London, Transport for London (TfL) has announced the implementation of new payment options for passengers, including the introduction of Contactless payments TfL across its network.

Contactless Payment Implementation

From 2012, TfL introduced contactless payments on buses, which was then extended to the Tube in 2014. By the end of 2016, contactless payments were available across the entire TfL network, which includes the Tube, buses, tram, DLR, London Overground, TfL Rail, and Emirates Air Line. Approximately 60% of all pay-as-you-go journeys are now made using contactless payments, with around 15 million journeys made each week using this method.

Mobile Ticketing and Oyster Usage

The number of journeys made using Oyster cards has decreased. TfL is also seeing increasing use of mobile ticketing through Apple Pay and Android Pay. In 2017, there were 430 million contactless journeys made. The increase in contactless payment usage has contributed to a reduction in the use of Oyster cards. 1.25 million Oyster cards expire each year.

Financial and Operational Impacts

TfL’s revenue increased by £30 million in 2017 due to the introduction of contactless payments. This is because they have a cheaper operating cost than Oyster. Contactless payments have also reduced queuing times at ticket gates and allow for the closure of some ticket offices. The cost savings from contactless payments are estimated to be £100 million per year.

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Future Developments

TfL continues to develop its payment systems, with plans to introduce further enhancements to improve the customer experience.

Conclusion

TfL’s adoption of contactless payments has significantly impacted its operations, with notable changes in payment methods and financial gains. The initiative has streamlined passenger flow and offered cost savings.

Company Summary

Transport for London (TfL): The local government body responsible for the transport system in Greater London, England. It plans, develops, and operates various transport services, including the London Underground, buses, and trams.