Britons haven't written off cheques

Despite the fact that the use of cheques is said to be declining, 76 per cent of consumers, the equivalent of 37 million people, have written cheques during the past 12 months, according to consumer group Which?.

About 41 per cent of people had used cheques to pay tradesmen or suppliers, while 23 per cent had sent them to friends or relatives as presents and 14 per cent had used cheques to pay for school dinners or outings.

The Payments Council announced last year that it had set a target date of 2018 for closing the clearing system following a steep fall in the use of cheques.

But the Council has promised that consumers will not be left "high and dry" by the move, and it is working with charities, consumer groups and small businesses to ensure viable alternatives are in place, possibly including some form of paper-based payment system.