Guides Best Exchange Rates In London

Guide 2 July 2018

Best Currency Exchange Rates in London: Cash, Cards and ATMs

A practical guide to spending and exchanging money in London, including cards, cash, ATMs, transport payments and live British pound comparisons.

London travel money guide · Updated July 2026

The best approach is usually card first, with a little cash

London is highly card-friendly. Contactless cards and mobile wallets work across public transport and at most hotels, restaurants, attractions and shops. Cash is still useful as a backup and for the occasional market stall, small business or service that does not accept your card.

The quick answer

Do not exchange your whole travel budget at the airport. Compare a low-cost travel card or account such as Wise or Revolut with your existing bank card, and carry only a modest amount of pounds for places where cash is useful.

Choose by situation

What should you use in London?

The cheapest choice depends on the fees attached to your own card or account. Check foreign-transaction charges, ATM fees and conversion limits before travelling.

Most everyday spending

A low-fee card or mobile wallet

Use a card that does not add a large foreign-transaction fee. Pay in pounds sterling and keep a second card separate as a backup.

Public transport

Contactless or Oyster

Transport for London accepts contactless cards and devices across its services. Use the same card or device for every touch so the correct fare and any applicable cap can be calculated.

Small purchases and backup

A modest amount of GBP cash

Cash can help if a terminal is offline, your card is declined or a small merchant prefers notes and coins. You usually do not need to carry your full budget in cash.

Larger transfers

An online transfer provider

If you are paying London accommodation, tuition, rent or another large sterling bill, compare the final GBP amount from transfer services rather than using cash or an overseas card.

At a glance

Compare the main ways to get and spend pounds

Always compare the total cost for your own card, country and transaction. Provider pricing, plan allowances and availability vary.

Method	Often useful for	Costs to check	London tip
Wise or Revolut	Card spending, app-based conversion and some ATM withdrawals	Conversion fees, plan rules, weekend pricing and ATM allowances	Compare Wise and Revolut with the card you already have.
Your bank card	Convenient contactless spending and transport	Foreign-transaction, cash-withdrawal and per-purchase fees	A fee-free card may be perfectly competitive; an ordinary card can become expensive.
Bank ATM	Obtaining a small amount of GBP after arrival	Your bank's fee, the ATM operator's fee and the offered conversion	Choose GBP if asked which currency to use, unless you have compared and deliberately accept the ATM's conversion.
Cash exchange bureau	Visitors who arrive with foreign banknotes	The exchange-rate margin, commission, minimum charge and final pounds received	Compare the final GBP amount at more than one bureau before handing over cash.

Getting around

Contactless is part of the travel-money decision

Transport for London says pay as you go with contactless or Oyster is an easy option and can provide daily or weekly capping. Overseas card charges can still apply, so a card that adds a fee to every foreign purchase may be a poor choice for repeated taps.

Use one card or device

Do not touch in with a physical card and touch out with the same card in a phone wallet. They can be treated as different payment methods.

Remember that buses are cashless

London buses do not accept cash fares. Use contactless, an Oyster card or another valid ticket.

Check overseas card fees

Your card issuer may charge for each sterling transaction. A prepaid Oyster card can be simpler when an overseas contactless card is incompatible or expensive.

Avoid common traps

Five checks before exchanging or withdrawing cash

Keep more of your money

Check the whole transaction

Compare pounds received, not “0% commission”. A bureau can recover its cost through the exchange rate even when no separate commission is shown.
Avoid exchanging a large amount at the airport for convenience alone. If you need cash immediately, exchange or withdraw a small amount and compare alternatives later.
Read the ATM screen. Check for an operator charge before continuing and use a bank-operated machine where practical.
Understand currency conversion prompts. A shop or ATM may offer to charge your home currency. This is dynamic currency conversion. Review the displayed rate and markup; paying in GBP lets your own card network and issuer perform the conversion.
Plan for leftover cash. Coins are difficult to exchange and cash buyback uses a different rate, so avoid withdrawing more than you are likely to spend.

Cash acceptance

“Legal tender” does not force a shop to accept cash

The Bank of England explains that a retailer can choose which payment methods it accepts. Keep both a working card and a small cash backup rather than assuming every business must take notes.

Banknote check

Current English notes are polymer

Bank of England £5, £10, £20 and £50 notes featuring either Queen Elizabeth II or King Charles III remain in circulation. Be cautious if somebody offers an old paper note as change.

Live market context

How has the British pound been moving?

The market rate changes continuously. This panel shows recent GBP movement against major currencies; it is a reference rate, not the rate a card, ATM or exchange bureau must offer you.

Live travel money rates

Compare current rates for buying British pounds

Use the table as a starting point, then confirm the final quote, collection or delivery terms, card limits and any fees directly before transacting.

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Bottom line

Use cards for convenience, cash for resilience

For many London visitors, the practical combination is a low-fee contactless card plus a small amount of sterling cash. Compare Wise or Revolut with your bank's overseas pricing, always check the final conversion cost and keep a backup payment method.