Barclays Bank

Earlier this month Barclays Bank announced that it will prevent its customers from making cash withdrawals at Post Office counters from January. This decision is completely unacceptable.

Barclays’ customers have previously been advised to use their local Post Office as an alternative when bank branches have closed, a service which I believe is essential.

When bank branches began to close in villages I lobbied to ensure that a full range of banking services could be made available through the Post Offices, an agreement which Barclays have now reneged upon.

My Arundel & South Downs constituency has one of the highest percentages of bank branch losses. The consumer organisation Which! reported a reduction of 75 per cent since 2015.

In fact, the latest figure is now far higher with just one bank branch remaining in the whole constituency, in Storrington, after Lloyds Bank closed in the village last week. All the other villages are now reliant on Post Office services.

I understand why bank branches were closed, with the rise of internet banking, but businesses and the elderly especially still need local banking facilities.

The independent Access to Cash Review found that around 17 per cent of the UK population – over 8 million adults – would struggle to cope in a cashless society.

The Review recommended that consumer access to cash should be guaranteed, ensuring that people can get cash wherever they live or work.

The banking services provided by the Post Offices are now essential, often the only ones left in our villages, and banks – including Barclays – should be required to offer a full range of services through them.

This isn’t just about cash. We should be developing the services that Post Offices provide to maintain them as hubs in our communities. Barclays is undermining this ambition.

I am raising this issue with Barclays Bank and ministers, and I will be calling for a Commons debate.

The banks cannot just walk away from our communities without ensuring that banking facilities remain for their customers, and they cannot be allowed to withdraw the alternative arrangements they promised.

It would be better for Barclays to reconsider and for the banks to co-operate voluntarily, but if legislation is required to compel them to provide their services through Post Offices the Government should act.

We must ensure that our communities have access to local banking facilities.