The increasing prevalence of “PIN only” retailers and service providers across the Netherlands is sparking debate about financial inclusion and individual autonomy, even leading to legal challenges. While the trend isn’t new, recent cases and data suggest a growing friction between businesses opting for cashless transactions and consumers who prefer or rely on cash.
Data released by De Nederlandsche Bank (DNB) in showed a slight increase in ‘PIN only’ points of sale, rising from 4.5% in to 4.8% in . This trend is particularly noticeable in larger cities, and within specific sectors. Notably, 38% of cinemas and 21% of pharmacies now operate on a card-only basis, up from 27% and 16% respectively in the previous year. Parking facilities also exhibit a high rate of non-cash acceptance, with 21% refusing cash payments.
However, the situation isn’t uniform. Libraries have seen a significant decrease in ‘PIN only’ policies, falling from 14% in to just 4% in . Chain retailers (6%) are more likely to refuse cash than independent businesses (4%). Geographically, the disparity is also significant. In cities with populations exceeding 175,000, one in ten shops are ‘PIN only’, compared to one in one hundred in villages with fewer than 5,000 inhabitants. Flevoland and Noord-Holland provinces show the highest concentration of ‘PIN only’ locations, at 10% and 8% respectively, while Zeeland remains fully cash-accepting, according to the DNB survey.
The move towards cashless transactions isn’t happening in a vacuum. The broader European context, highlighted by Visa’s continued exclusive sponsorship of the Olympic Games, underscores the dominance of major payment networks. A Reuters report from points to growing concerns among European policymakers regarding the influence of foreign payment companies.
Recent legal battles in the Netherlands illustrate the growing consumer resistance to cashless policies. A man successfully challenged a cinema in Arnhem after being refused service for attempting to pay with cash. The case, reported by NU, established that businesses must offer a cash payment option, unless there are legitimate security concerns. A similar case at a different cinema, detailed by Metronieuws.nl, also resulted in a victory for the consumer.
The pushback isn’t solely about convenience. Privacy concerns are also playing a role. An expert interviewed by Omroep Gelderland cautioned that businesses refusing cash must have a compelling justification, raising questions about data collection and potential misuse of financial information.
The broader trend of increasing card payments, particularly online, is evident in DNB data. Between and , the number of cross-border online payments made with debit cards surged to 26 million, with the total value quintupling to €1.7 billion. This growth in digital transactions is undoubtedly contributing to the decline in cash usage, but also raises questions about accessibility for those without bank accounts or digital literacy.
The Dutch central bank acknowledges the ongoing debate and notes that the European parliament is considering a potential cash acceptance requirement for retailers. The DNB believes harmonizing rules across the European Union is crucial, suggesting a coordinated approach is needed to balance the benefits of digital payments with the need to ensure financial inclusion and consumer choice. The situation in the Netherlands serves as a microcosm of a wider European challenge: navigating the transition to a digital economy while safeguarding the rights of all citizens to participate fully in the financial system.
