The ribbon was cut on a new banking hub in Monmouth, Wales,
marking the first anniversary of the Financial Conduct
Authority's (FCA's) access to cash rules.
The rules mean that before banks and building societies change
cash services, such as closing a branch or ATM, they must assess
the impact. If significant gaps in cash access are found, they
must plug them.
Monmouth is the 121st banking hub to open in 12
months. A further 93 cash deposit services - such as ATMs and
Post Office counters - have also been set up. 20 of the banking
hubs were established following requests from local communities
for their cash provision to be assessed.
David Geale, executive director of payments and digital
finance at the FCA,said: “Cash still
matters - for many consumers it's a key budgeting tool, and for
small businesses, a way to handle daily takings. We're helping to
keep cash accessible in communities across the UK.”
Gareth Oakley, chief executive officer of Cash Access
UK said: “We're pleased to be bringing vital cash and
banking services to communities where these are needed. Our
shared banking hubs and deposit services, which serve the
customers of multiple banks, can provide a sustainable solution
in communities where essential cash services are needed. From
banking hubs to cash hubs and deposit ATMs, our services come in
different shapes and sizes to best meet the needs of each
community, but whatever their format, they all provide easy and
convenient access to cash and banking services.”
John Howells, chief executive officer of LINK
said: "While the way we pay for things is changing, around five
million people still rely on cash or can't use digital
alternatives. Cash also provides vital resilience when digital
systems fail or are unavailable. Protecting access to cash
therefore remains essential. One year on, the regulations have
had a positive impact and build on LINK's ongoing work to ensure
every community can continue to access cash."
As part of its 5-year strategy, the FCA is focused on helping
consumers navigate their financial lives, and for many this will
include the use of cash. FCA data continues to show that more
than 95% of the UK population can access cash within the
distances set out by the government.
Notes to editors:
- The FCA collects data to
monitor cash coverage at a national level and regularly reports
its findings publicly.
- The FCA monitors and supervises how designated banks and
building societies are complying with the rules protecting access
to cash.
- The different cash solutions include withdrawal and deposit
ATMs, banking hubs, and Post Office counters.
- Consumers and communities who are concerned about accessing
cash in their area can request a cash access assessment.
- Discussions with key stakeholders on what is working well,
and how else access to cash can continue to improve, will be held
later in the year. The FCA says these initial forums will focus
on access to cash, with future forums broadening the scope to
also consider wider banking services. However, any changes to the
FCA's powers over access to cash or banking services would have
to be implemented by the government.
- Cash Access UK provides cash and basic banking services to
communities across the UK, including sourcing and opening shared
banking hubs and deposit services. LINK helps to connect a
reliable ATM network to banks and building societies and is also
responsible for carrying out cash access assessments.
