High integration costs for age verification technology could take smaller online retailers out of business, a key Australian retail body has warned.

Online retailers in particular are the target for new reforms of the UK Licensing Act, which will mandate biometric verification during the transaction through to delivery. The Home Office acknowledged the oversight of customer verification for e-commerce transactions, however no solid plans for delivery were confirmed in a statement.

While regulation serves as enforcement across the global sector, the expense of installing biometric verification for online services will be financially unviable for some Australian retailers.

Across in-store transactions, the use of biometric kiosks to verify customers has surged by 138% according to a report by Juniper Research.