Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of the adequacy of (a) access to cash and (b) the level of cash acceptance in towns and rural communities in Scotland.

The Government recognises the importance of cash, understanding that it continues to be used by millions of people across the UK, including those in rural and costal areas. The most recent data from the Financial Conduct Authority shows 98.1 per cent of people in rural areas live within 3 miles of a free-to-use cash access point offering withdrawals

The Financial Conduct Authority (FCA) assumed regulatory responsibility for access to cash in September 2024. Its rules require the UK’s largest banks and building societies to assess the impact of a closure or material alteration of a relevant cash withdrawal or deposit facility and put in place a new service if necessary. As part of this responsibility, the FCA must also seek to ensure that there is reasonable provision of free withdrawal and deposit facilities in relation to personal current accounts. This supports businesses to ensure they can continue to accept cash by ensuring that they have reasonable access to cash deposit facilities.

The Government continues to work closely with industry to support the roll-out of 350 banking hubs by the end of this Parliament. Over 280 hubs have been announced so far, and more than 240 are already open across the UK, including 31 in Scotland.

The Government is committed to continuing to monitor levels of cash acceptance and to evaluating all relevant payments data, including data on consumer preferences and trends, to inform future policy and help ensure that consumers and businesses have a choice of payment methods to meet their needs.