From Friday, the price limit on purchases using contactless technology will go up from £15 to £20, the BBC has reported. This will bring it in line with the Eurozone's €25 limit.
Using 'wave-and-go' technology, you can swipe your credit or debit card across a reader without needing to enter a PIN code - and the correct amount of money will be deducted from your bank account (or added to your credit card bill).
The chief information officer at Post Office Limited, Lesley Sewell, has said that this will "bring huge benefits to our customers by reducing transaction times."
The Post Office is due to add contactless payment terminals to all of its branches - 11,500 in total. It has pledged that it will become the biggest provider of this new technology in Europe. Initially (from 6th June) it will install terminals in 200 branches in London. The rest of its branches will be equipped with up to 30,000 counters offering contactless payment by the end of October.
There have been some concerns raised by shopkeepers that the cost to retailers will rise if more people begin using cards than cash.