Banking Hubs: Rural and Post-Industrial Communities Debate
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Roz Savage
Main Page: Roz Savage (Liberal Democrat - South Cotswolds)Department Debates - View all Roz Savage's debates with the HM Treasury
Banking Hubs: Rural and Post-Industrial Communities
Roz Savage Excerpts(1 day, 9 hours ago)
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Ann Davies
I totally agree, and I will come on to that later. In 2006, cash accounted for 62% of all payments in the UK. It now accounts for around 14%, with some forecasts taking it down to 6% in 2031. However, if we look beyond those percentages, we can see that cash still plays a vital role in people’s lives. For many, cash is indeed king.
New figures from Link, which accounts for 77% of the UK’s entire ATM network transactions, show that cash continues to be central to how millions of people manage their money. In 2025, £76 billion was withdrawn from Link ATMs, in 1.27 billion transactions recorded across the year. Link notes:
“While ATM use naturally evolves as more people choose digital payments…cash remains a trusted and widely used option.”
Link data shows that the most popular places in which to use cash remain convenience stores, supermarkets and payments between friends and families.
Dr Savage
In my rural constituency, mobile banking hubs, including mobile vans and post offices, are absolutely vital, especially for older constituents who still prefer to use cash, and for rural businesses that need to pay in cash. Recently, services in Hullavington and Minety were suspended, which was a real problem. Does the hon. Lady agree that in rural communities, mobile banking vans are not a luxury, but an essential service, not just for the people using cash but for the businesses and pubs where cash payments are made?
Ann Davies
Absolutely. Unfortunately, as of December last year, those post office vans no longer accept cheques. Some people of a certain generation still use cheques, but those cannot now be paid in by using a post office van, as we have in our village. Someone must physically go to a bank to pay in a cheque, which makes it very difficult for the elderly, especially given that in my area we do not have public transport either.
Removing local banking services risks deepening financial exclusion and placing additional strain on already vulnerable adults. Despite cash and in-person banking still being integral to many communities across the UK, they are becoming harder and harder to access. That is demonstrated by the number of bank closures across Wales. As the Welsh Affairs Committee has noted, the number of bank and building society branches fell from 695 in 2012 to 435 in 2022.