Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps the Government has taken to achieve the target of 350 banking hubs since 5 July 2024.

The Government recognises that cash continues to be used by millions of people across the UK, including those who may be in vulnerable groups or face challenges using alternative payment methods. The Government is committed to maintaining the viability of cash as a payment method for those who choose to use it. The Government also understands the importance of face-to-face banking to communities and high streets across the UK, including those in rural communities, and is committed to championing sufficient access for all as a priority.

In September 2024, The Financial Conduct Authority (FCA) introduced regulatory rules for access to cash. Its rules require the reasonable provision of free cash withdrawal and deposit facilities for personal current accounts.

Where a branch closure is announced or a community has submitted a cash access assessment request, LINK, the independent industry coordinating body responsible for making access to cash assessments, assesses a community’s access to cash needs, and will recommend appropriate solutions where it considers that a community requires additional cash services. Any decisions on changes to LINK’s independent assessment criteria are a matter for LINK, the financial services sector, and for the FCA, which oversees the access to cash regime.

Under the framework provided by this regime, the Government is working closely with industry to roll out 350 banking hubs across the UK which will provide individuals up and down the country with critical cash and banking services. The UK banking sector has committed to deliver these hubs by the end of this Parliament. Over 220 hubs have been announced so far, and over 135 are already open.