Victory for Cash Access: Which? Secures New Protections
After more than six years of relentless advocacy, Which? has achieved a major milestone in safeguarding free access to cash. Today marks the implementation of new regulations under the Financial Services and Markets Bill, ensuring that people across the UK can continue to access cash without financial barriers.
The journey began in February 2019 when Which? launched its campaign following research that revealed a staggering 3,000 cash machines had vanished from UK streets in just six months. This trend was particularly alarming for the most vulnerable members of society, including those in poorer areas who were hardest hit by the diminishing availability of free-to-use ATMs.
In September 2019, Which? highlighted that the decline in cash machines disproportionately affected impoverished regions. The situation prompted us to intensify our efforts. By March 2020, we organized a significant push to protect cash access, including a week of action that saw over 7,700 tweets directed at the Treasury and more than 10,000 stories delivered to Downing Street. This campaign managed to trend nationally on Twitter, bringing considerable attention to the issue.
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Our advocacy did not stop there. In December 2021, Which? urged banks to halt branch closures that were jeopardizing cash access. By March 2022, we mobilized our supporters to write to local papers and MPs, resulting in 6,500 letters and nearly 25,000 emails that successfully brought the issue into the political spotlight. This massive effort contributed to the inclusion of cash protection legislation in the Queen’s Speech of May 2022.
The Financial Services and Markets Bill entered Parliament in September 2022, with Which? working tirelessly to ensure its robustness. Our amendment to the Bill was accepted in May 2023, and by June 2023, the Bill received Royal Assent, becoming law. Today, new rules proposed by the Financial Conduct Authority (FCA) officially come into force, guaranteeing free cash access.
Under the new legislation, banks and building societies are now required to provide free cash withdrawal and deposit services within a specific distance of people’s homes—one mile in urban areas and three miles in rural areas. Non-compliance can lead to fines. The FCA also has the power to ensure these standards are met and to address gaps in cash access by evaluating local needs and responding to community requests.
The new rules also stipulate that gaps in cash services can be addressed through various measures, including banking hubs, ATMs, and Post Office facilities. Banking hubs, for instance, will feature staff from multiple banks and offer essential services like cash withdrawals and deposits. The Labour Party's recent pledge to establish 350 such hubs across Britain further reinforces the commitment to maintaining cash access.
The FCA’s Sheldon Mills emphasized the importance of this legislation, noting that three million people still rely on cash daily, along with numerous small businesses that need secure cash deposit options. Despite the rise of digital payments, cash remains a vital part of financial life for many.
Since 2015, over 6,000 bank branches have closed, exacerbating the need for these new protections. With the new regulations in place, Which? and its supporters have made a significant impact, ensuring that cash remains accessible to all who need it.
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