In a new report, Prime Time for Real Time, published by ACI Worldwide (NASDAQ: ACIW), the Centre for Economic and Business Research (Cebr) predicts that by 2026, £1.3bn could be made in cost savings for British businesses and consumers through real-time payments – helping to generate an additional £2.6bn in economic output, equivalent to 0.11% of formal GDP.
In 2021, real-time payments resulted in £730mn in cost savings for firms and consumers in the UK – helping unlock £2.2bn in additional economic output, equivalent to 0.1% of formal GDP.
The findings come as the IMF has forecast the UK will have the slowest growth out of the G7 nations in 2023, amid reports half of small British companies say rising costs will hit their growth.
Real-time payments are a big lever governments can pull to improve liquidity in financial systems, enable quicker payment of workers and suppliers, and drive economic growth. Globally, in 2021, real-time payments helped to generate additional GDP amounting to £59.9bn across 30 key economies – forecast to climb to £133bn by 2026.
The report, also in partnership with GlobalData, finds the UK is missing a trick. Emerging economies outpace developed nations in real-time payments modernisation, boosting global economic growth.