Retailers: Cash

Lord Bishop of St Albans Excerpts

Thursday 15th December 2022 Lords Chamber

[Lord Harlech (Con)]

As my noble friend will know, technology and consumer behaviour are changing and it remains the choice of individual organisations whether to accept or decline any form of payment, including cash or card, based on a consideration of factors, such as customer preference and cost. However, the Government consider that their legislation in the Financial Services and Markets Bill will support organisations, including local businesses, to continue accepting cash by ensuring that they have reasonable access to deposit facilities. As I said, legal tender has a narrow technical meaning: it means that if you offer to fully pay off a debt to someone in legal tender, they cannot sue you for failing to repay.

[The Lord Bishop of St Albans]

My Lords, this is a problem that particularly affects rural areas, where there are far fewer cash-dispensing machines. Also, there are many parts of rural areas where there is no internet, so even if you want to pay by BACS or direct transfer, you just cannot do it. Will the Minister assure us that the Government will properly rural-proof this discussion so that we are able to ensure that rural areas can still function effectively?

[Lord Harlech (Con)]

As someone who comes from a rural community, I know only too well the trials and tribulations of getting a good connection. The Government recognise that digital inclusion needs to be promoted alongside financial inclusion. That is why we are committed to ensuring that everyone has access to digital infrastructure and the skills necessary to participate fully in society, and that very much includes rural areas. In 2021, the Government launched Project Gigabit, which committed a landmark £5 billion to support the rollout of gigabit connectivity in the hardest-to-reach areas.