Shoppers will now be able to spend up to £30 with their contactless cards as the limit for a single payment rises by £10.
This increase will likely broaden the appeal of the card, making more people likely to use it.
The use of this technology has gathered pace over the past year, with post offices, supermarkets and public transport adopting it.
Contactless payments were introduced in 2007 to the UK for small purchases. According to the trade body UK Cards Association, more than £2.5bn was spent using these cards in the first half of 2015.
The UK Cards Association head of policy, Richard Koch, said: “Contactless payments are fast, easy and secure and use the same robust encryption technology as chip and pin. Consumers are increasingly choosing contactless as a way to pay and the new £30 limit will give shoppers and retailers even more opportunities.”
The contactless technology enables consumers to pay for goods with a single swipe, without the need to enter a pin. There are approximately 58m contactless cards in the UK.
The latest rise has been the third since the card was introduced. The last was made in June 2012, raising by £5, taking the total to £20. Before that it was raised from £10 to £15 in 2010.
Even though the update rolled out this week, not all shops will offer the raised limit straight away, as it requires a software update. There’s over 200,000 bank-owned terminals in the UK – so the update could take quite a while.