Barclaycard Business and taxi firm Computer Cab have unveiled what they claim to be the first contactless payment system for taxis.

Barclays and Computer Cab will fit a concept taxi with Visa's Wave and Pay technology in order to demonstrate how the taxi company can offer customers a secure and efficient way to pay for low value fares.

The companies claim that the contactless system is more convenient as it reduces the need to handle cash.

Barclays said last year that it would be combining chip-and-Pin technology for credit card payments alongside that of Transport for London's Oyster Card.

The new card, currently under trial, also allows customers to pay for low-cost items in shops without having to enter a Pin, and will be rolled out to Barclaycard customers later this year if it proves successful.