Leading UK banks have formed a separate non-profit company to form a network of banking hubs across the country and provide cash access to local UK communities
The consortium of 300 firms across the financial industry – UK Finance – has enabled the launch of Cash Access UK Ltd, a non-profit company made up of the nine largest high-street banking providers in the UK.
Barclays, HSBC, Lloyds Banking Group, Nationwide Building Society, NatWest Group, Santander, Virgin Money, Danske Bank and TSB have incorporated a company to offer cash access, deposit and basic banking services in a brick-and-mortar environment without spending excessive costs.
So far 29 new shared banking hubs have been announced by the newly-formed consortium of UK banks.
We have previously reported that sharing bank branches is popular in the UK since massive branch closures have raised concerns about access to cash and deposits, particularly in rural or deprived areas. Meanwhile, the British population is increasingly returning to cash as a more effective way to manage budgets and control spending amid rising living costs and soaring inflation.
Therefore, the Bank of England has recently announced new legislative measures to support retail access to cash for businesses and individuals under the Financial Services and Market Bill.