Activists hail new government plans for ‘free access to cash’
Advocates welcomed a U-turn by the government after backing calls for regulators to be strengthened to ensure free access to cash.
Changes to the Financial Services and Markets Bill published late Thursday night would give the Financial Conduct Authority (FCA) new powers to ensure the public has free access to cash.
When the bill passed the House of Commons, opposition parties had raised concerns about access to cash.
The closure of local bank branches and the drop in free ATM use have prompted campaigners to urge ministers to act.
The changes empower the FCA to ensure the appropriate provision of free cash access services, which include both deposits and withdrawals.
Business Secretary Andrew Griffith told the Daily Express: “The convenience and speed of digital payments is opening up a world of opportunity for people and businesses, but the reality is that many will still need the ability to withdraw or deposit cash for the foreseeable future.”
“That’s why we’re bringing forward new legislation that will ensure everyone has reasonable access to withdraw and deposit cash for free.
“This is especially important for people living in rural communities, the elderly and households that rely on cash to manage their finances.”
Which? was among those taking action on the issue and welcomed the government’s move.
Rocio Concha, which one? The Director of Policy and Advocacy said: “Whether it’s shopping for essentials or keeping track of spending during the cost-of-living crisis, cash is hugely important to millions of consumers.”
“As bank branches and ATMs continue to close at a rapid pace, those who are not yet ready or unable to make the switch to digital payments must not be left behind.
“Which? has worked tirelessly to ensure new laws protect free access to cash, and we’re pleased the government is agreeing that people don’t have to pay fees just to access their own money.”
Labor said the government must now “go further” and protect personal banking services.
Shadow City Minister Tulip Siddiq said: “After months of defying Labor calls to protect free access to cash and voting against our amendments, the Government has finally done an about-face.”
“The Conservatives have run out of ideas of their own and are once again following the example of the Labor Party.
“If the Government is serious about ensuring that nobody is left without the services they need, they must go further and adopt Labor’s policy of protecting personal banking services now.”
https://www.standard.co.uk/business/money/campaigners-welcome-new-government-plans-on-free-access-to-cash-b1083928.html Activists hail new government plans for ‘free access to cash’
