Millions of people are set to benefit from changes to legislation that will help people to continue to withdraw and deposit cash for free. While many of us already take advantage of the speed, convenience and functionality provided by digital payments, millions of people across our country continue to rely on the use of cash in their everyday lives – including some of the most vulnerable.
Paul Howell, Member of Parliament for Sedgefield, has welcomed the Conservative Government’s decision to ensure a legal right of free access to cash for millions of people. The move will mean that all, including the most vulnerable in society, can continue to withdraw and deposit cash for free.
The amendment to the Financial Services and Markets Bill, which is making its way through Parliament, means that the financial services regulator will have the legal power to preserve access to cash – free to consumers at the point of withdrawal or deposit – for those who need it.
The Government Minister responsible for the Bill, Andrew Griffith MP, said that whilst speed and convenience of digital payments opens a world of opportunity for people and businesses, the reality is that so many still depend upon access to cash, particularly the elderly or those who use cash to manage their finances.
This is the case especially in rural areas like the Sedgefield constituency. The amendment follows action taken by the Government to protect access to cash over recent years – including changes in 2021 to support the widespread offering of cashback without a purchase by shops and businesses turning every corner shop into a potential cash dispenser.
Commenting, Paul Howell said: “Many people in the Sedgefield constituency rely on free withdrawals and deposits of cash on the high street. The ability to make deposits is particularly important to support small business owners’ ability to continue to take cash. That’s why I welcome the Government’s move to ensure free access to cash in the future. I know that this change will be important for the elderly and most vulnerable in our community who frequently use cash as their choice of payment.
My discussions with LINK, regarding provision of a Shared Banking Hub in Newton Aycliffe Town Centre, continue and I’m planning a visit to a Community Banking Hub with the Economic Secretary soon. I believe a hub will actually provide better access to customer services because all of the banking organisations will be represented, and this will greatly improve access to banking and access to cash for all local customers.”