Response from the Treasury on access to cash

Following my recent written question to the Chancellor about the Government’s legislative plans to ensure that we protect access to cash and in-person banking services, I have now received a response from the Treasury which I include below. I will continue to work hard to ensure that Hitchin & Harpenden residents have appropriate access to cash and banking services.

“The Government recognises that cash remains an important part of daily life for millions of people across the UK, and remains committed to legislating to protect access to cash.

From 1 July to 23 September last year, the Government held the Access to Cash Consultation on further proposals for new laws to make sure people only need to travel a reasonable distance to pay in or take out cash. The Government’s proposals intend to support the continued use of cash in people’s daily lives and help to enable local businesses to continue accepting cash by ensuring they can access deposit facilities.

The Government received responses to the consultation from a broad range of respondents, including individuals, businesses, and charities. The Government has carefully considered responses to the consultation and will set out next steps in due course.

More broadly, the government wants to ensure that people have appropriate access to financial services, and recognises the importance of appropriate access to banking. Options for access can be via fixed and mobile bank branches, telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.

Following the Government’s commitment to legislate to protect access to cash, firms are working together through the Cash Action Group to develop new initiatives to provide shared services including bank hubs. The Government welcomes the direction set by industry’s commitments at the end of last year and looks forward to seeing what results they deliver in protecting cash facilities for local communities across the UK.”