The total value of banknotes circulating in the European Union has risen significantly in recent years, reaching €1.6 trillion in June 2026, according to data from the European Central Bank. This growth represents an increase from approximately €1 trillion in 2016, contrary to expectations that digital and contactless payment adoption would reduce cash usage. The number of individual notes in circulation has also expanded, with over 31 million notes currently in use compared to 24 million before the pandemic in 2019.
ECB chief economist Philip Lane noted at a conference in Ireland that while cash usage in daily transactions has declined, the overall stock of banknotes continues to expand. Experts attribute this apparent paradox to heightened anxiety regarding geopolitical tensions, cyber-security vulnerabilities, and climate-related emergencies. In 2025, EU residents received guidance to prepare emergency supplies, including cash reserves of €70 to €100 per household, sufficient to cover essential purchases for 72 hours in the event of system failures or crises such as severe wildfires, floods, or cyber-attacks.
Several European nations, including Austria, Finland, Germany, Sweden, and the Netherlands, have officially recommended that citizens maintain emergency cash reserves. The €50 and €100 notes have emerged as the most popular denominations. This shift reflects a broader recognition of cash’s role in national crisis preparedness, particularly given recent events including a sustained cyber-attack on a major UK retailer that disrupted online transactions for weeks.
Academics and financial experts have emphasized the multifaceted importance of preserving cash infrastructure and usage patterns. Beyond emergency preparedness, cash serves populations with limited digital access, including elderly citizens and vulnerable groups. Researchers have also highlighted cash’s role in promoting financial literacy among younger generations and protecting privacy for consumers who prefer it to digital transactions. The ECB has indicated that legislative measures may be necessary to maintain adequate automated teller machine networks across EU high streets to ensure continued cash accessibility.
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