Andrew has written to Bim Afolami, Economic Secretary to the Treasury, calling for renewed efforts to support financial inclusion as bank branches close across the country. Andrew noted in the letter that whilst the UK is becoming a cashless society, many are uncomfortable managing or unable to manage their finances remotely.
Andrew wrote in the letter, ‘Residents are particularly vulnerable to financial exclusion due to the rural nature of my constituency or being part of a more elderly demographic that may not be comfortable or adept at using telephone and online banking. I am therefore anxious to provide assurances to my constituents that action is being taken on this front.’
Andrew urged that the Government includes face-to-face banking in its digital inclusion plans as well as access to cash and that it accepts recommendations by the Financial Conduct Authority and Bank of England to place new responsibilities on service providers to be fully transparent about their reduction of services and for regular assessments of financial inclusion to be made.
Since January 2015, 6,000 bank and building society branches have closed in the UK or are due to close by January 2025, which is equivalent to 61% of all branches in 2015. Towns in Andrew’s South West Wiltshire constituency have been affected by this development, with the Lloyds Bank branch in Warminster the latest to announce its closure. LINK recently announced a new banking hub for Westbury which Andrew enthusiastically welcomed after supporting the application.
Andrew said;
‘Financial inclusion is crucial in a rural area like Wiltshire. We have been making progress, for example with the announcement of the Westbury banking hub and new provisions in the Financial Services and Markets Act 2023. Nevertheless, banking is changing rapidly and it is important that our action to support those at risk of financial exclusion keeps pace.’