Brussels – In the Belgian capital, a clash is brewing between two payment factions: one pushing for the enduring dominance of cash, and the other advocating for a digital revolution.
This tug-of-war over the future of payments is reshaping the business landscape, with some businesses clinging to traditional methods, while others embrace new, tech-savvy solutions.
The transformation began with the Covid-19 pandemic, which radically changed consumer behavior. The rise of contactless and digital payments was spurred by health concerns and a preference for quick, touch-free transactions.
According to Febelfin statistics, the number of Belgians using contactless payments nearly doubled since 2020.
By 2024, four in five Belgians reported preferring digital payment methods, with over half of younger generations stating they had not used cash in recent memory. Only 15% of Belgians still preferred using cash in their daily transactions.
However, the rise of digital payments has not been universally embraced. Older generations, in particular, continue to hold fast to cash, finding comfort in its familiarity and physicality.
During the pandemic, the abandonment of cash in many businesses was met with fierce opposition.
The backlash even led to protests, such as an occupation of a bar in the Cimetière d’Ixelles area of Brussels, where patrons staged a demonstration against the refusal to accept cash payments.
This issue soon caught the attention of Belgium’s Federal Government. On July 1, 2022, new legislation was enacted that required businesses to offer at least one electronic payment option while still ensuring the availability of cash payments.
The law, in theory, guarantees that customers can choose their preferred payment method, but in practice, businesses continue to find ways to discourage or limit card usage.
Vous Payez Par Carte?
Card payments are now widely accepted throughout Brussels. Unlike Germany, where cash remains king, Belgians are increasingly using their bank cards for a variety of transactions, from everyday purchases to larger payments.
The stigma that once surrounded the use of digital payments for small items has faded, with many small businesses now accepting contactless payments through portable card readers.
Despite the widespread adoption of digital payment systems, some businesses in Brussels are still actively discouraging card use, offering customers limited options or imposing higher fees for card payments.
A prime example of this can be found at a popular snooker club in the city, where patrons are instructed to pay either with cash or American Express (Amex), despite the latter’s low market share in Belgium.
When one of our journalists attempted to pay with Amex, staff revealed that the machine for this payment method was not even on the premises.
American Express charges some of the highest transaction fees among digital payment systems, with fees as high as 20 cents on a €5 transaction—far more than the fees for Visa, Mastercard, or Bancontact.
These high fees create an incentive for businesses to use Amex as a way to deter card payments, as a covert way of encouraging cash transactions.
This trend is not isolated to just one establishment. Similar practices are widespread, particularly in bars and small retail businesses across Brussels.
In some cases, customers are even offered discounts if they choose to pay in cash. However, those who insist on using their bank cards may face limitations, such as only being allowed to pay with credit cards, which typically incur higher fees for merchants.
These practices are a cause for concern among consumer rights groups, such as TestAchats, which argues that these business strategies are both inconvenient and illegal.
Under federal law, businesses are required to accept both cash and card payments, yet many still favor cash transactions, particularly in sectors like hospitality, where margins are often tight.
“Despite federal laws requiring that both cash and card are accepted, many businesses still push for cash, especially in sectors like bars, restaurants, and salons,” explained France Kowalsky, financial services domain coordinator at TestAchats. “It’s not just inconvenient; it’s illegal. But enforcement is weak.”
Cash Only?
Despite the law, many businesses in Brussels continue to refuse card payments altogether. Some restaurants and small businesses openly display “cash only” signs, violating the established rules of consumer choice. A journalist from The Brussels Times visited an upscale Asian restaurant in the city center in November 2024, well after the law had been passed, only to find that the business owners still only accepted cash.
This resistance to digital payments isn’t just about convenience; there are often financial incentives for businesses to maintain cash-only policies. According to TestAchats, the push for cash can sometimes be linked to tax fraud or efforts to avoid leaving a digital paper trail. Cash payments, which leave no record, make it easier for businesses to operate “under the table” and avoid paying taxes.
“It’s no secret that when businesses push for cash, it’s often linked to tax fraud or working under the table,” Kowalsky noted. “Card payments leave a digital trail, and that makes it harder for businesses to conceal income.”
From the perspective of some business owners in the hospitality sector, limiting card payments can be a matter of survival.
High taxes, elevated staffing costs, and falling profit margins have led some businesses to seek out ways to offset these pressures, with cash transactions offering a temporary workaround.
As one bar owner in Ixelles explained, “Doing cash transactions allows for some under-the-table earnings, which are useful for paying less tax, but now it’s becoming more complicated with regulations.”
A Digital Future?
Despite the hurdles posed by cash-first businesses, digital payment methods continue to grow in popularity.
The younger generation, in particular, is increasingly favoring cashless transactions. Yet, this shift is causing friction with older consumers, who continue to prefer the security and familiarity of physical money.
The struggle between these two groups is unlikely to be resolved quickly, especially as the gap between cash-accepting and cashless businesses continues to widen.
One thing is clear: businesses are grappling with the evolving payments landscape, and many are not yet ready to fully embrace a digital-first future.
In the case of bars and restaurants in particular, the decision to limit card payments often stems from a combination of convenience, cost concerns, and financial incentives that encourage cash transactions.
For businesses that resist digital payments, the future is uncertain. With fewer ATMs and bank branches accepting cash deposits, maintaining a cash-only policy will likely become increasingly difficult.
Meanwhile, younger consumers who rely on digital payments are beginning to voice their frustrations. These consumers, who are accustomed to seamless, tech-driven transactions, are not likely to tolerate businesses that still refuse to adapt.
The tension between digital and cash payments is likely to continue for some time in Brussels, with no easy resolution in sight.
The real question remains: will businesses eventually be forced to abandon cash entirely, or will they continue to cling to this traditional method of payment, even in the face of mounting legal, economic, and consumer pressure?
As the Federal Government has pointed out, the law guarantees consumers the right to pay with either cash or card.
But for many businesses, this balance is proving difficult to maintain, especially as the landscape of payments in Belgium continues to shift toward a predominantly cashless future.
