Access to cash plays a crucial role for small businesses such as restaurants, hairdressers and florists etc. When bank branches close in their towns, it has several effects:
1. Operational Challenges: Businesses often need to make frequent cash deposits and withdrawals. With bank branches closing, they must travel farther to access banking services, which increases administrative costs and reduces operational efficiency.
2. Community Impact: If a bank branch is the last one in town, its closure can significantly affect the community. Reduced patronage and community amenity lead to economic decline. Moreover, shopkeepers struggle to safely bank cash-takings and cheques without local branches.
3. Financial Exclusion: Many small businesses rely on branches as their primary means of banking. When these close, it impacts their ability to manage finances. Additionally, elderly and disabled individuals, who may not use online banking, face challenges when the last branch shuts down.
4. Long-Term Viability: The closure of branches also raises concerns about the overall viability of the cash system. Measures like the Access to Banking Standard and Post Office services aim to mitigate the impact, but more needs to be done to address the negative consequences.
Here at banxlocal.uk we believe in maintaining and improving access to cash services, amongst our other service lines as it is vital for small businesses’ survival and community well-being. 🌼🍽️💰
If you’d like to hear more about what we’re doing to solve these real-world problems, please drop us a line to info@banxlocal.uk
