Closure of High Street Services: Rural Areas
Debate between Catherine Fookes and Jamie Stone(1 month, 3 weeks ago)
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Jamie Stone
My hon. Friend is right on the money, and I will return to that point shortly.
Local businesses that once thrived now struggle to compete with online giants offering convenience and lower prices. This shift has not only impacted our economy but deprived our communities of vital gathering spaces—places where people can get together, where relationships are built and strengthened, and where we can have a good natter on the street corner.
Catherine Fookes (Monmouthshire) (Lab)
It is a pleasure to serve under your chairship, Ms Furniss. Like many places, the high streets in my constituency of Monmouthshire have taken a real battering since covid, but a recent Monmouthshire county council report found a 5% increase in people visiting Monmouth, my town, and an 8% increase in people returning to the high street in Abergavenny. Sadly, we have had 10 bank closures in the last two years and some of our towns, particularly Caldicot, are really suffering from that. A new post office has just opened, which is wonderful, and I commend the community and the local council for supporting it, but does the hon. Gentleman agree that the Government deserve great praise for supporting banking hubs? There will be 300 banking hubs, and I am delighted that one will be opened in Monmouth.
Jamie Stone
I love the words “banking” and “hub”. I also know from my past experience what a lovely town Monmouth is; I had some much-loved cousins who lived just outside the town, and I knew it well some time ago.
Coming on specifically to the closure of banks, face-to-face banking is an essential part of the community, from preventing fraud and helping people who think they have been scammed to conversations about complex financial issues, which we cannot simply pick up from a letter or online. Those are fundamental functions of banks—not privileges that should be reserved for those who live in more urban areas. We know there has been a shift towards digital banking in recent times, but for many in our rural communities, including the elderly, there is not good internet access for a start, and they cannot really use those services, let alone use them to their maximum power. I know of many old people who are totally bamboozled by them.
I am not alone in these concerns. Lloyds Banking Group has recently announced the closure of 136 branches across the UK—that stopped even me in my tracks. The closures include several Bank of Scotland branches. I think that banks have a duty of public service to support local people with their financial needs, but that is a function that I fear many banks seem to have forgotten; I know not why. But there have been some reassuring solutions to the issue of banks closing, which takes me back to those welcome words “banking hubs”.
Run by the Post Office and Cash Access UK, the shared spaces have done amazing work in providing banking services in collaboration with an array of different banks.