Bank branch closures update: 100th Banking Hub rolled out across UK in a bid to protect access to cash

The hub, located on Market Street in Darwen's town centre, represents a shared banking space where customers of different banks can access essential financial services and carry out regular cash transactions Monday to Friday.

Between five and six million adults across the UK rely on cash for their day-to-day lives, according to those behind the initiative.

Different banks work on rotation, with a dedicated banker available each day of the week.

Gareth Oakley, chief executive for Cash Access UK said: "Our hubs are proving extremely popular, which shows that access to cash and banking services remains vital for millions of individuals across the UK, despite more people choosing to bank and make payments digitally."

Do you have a money story you’d like to share? Get in touch by emailing temie.laleye@gbnews.uk.

The Government aims to roll out 350 banking hubs by 2029, with 230 expected to be open and running by the end of next year.

Reeves said: "Reaching this milestone of 100 banking hubs is a huge step towards making sure that people across the country have access to essential face-to-face banking services."

"High streets are the beating heart of our communities but were neglected for too long under the previous Government."

Cash Access UK has announced that alongside the 100th hub opening, 100 deposit services will be live by the end of the year.

These deposit services enable small businesses to manage cash through deposit ATMs or enhanced post office facilities.

The milestone comes amid widespread bank branch closures across the UK, with more than 6,000 branches shuttered since 2015 - representing nearly two-thirds of the country's banking network.

Recent analysis from Link indicates that around one in 10 ATMs have closed over the past three years.

Sam Richardson, deputy editor of Which? Money, warned: "Banking hubs are likely to be the future of banking, replacing shuttered branches, and while it's encouraging to see this milestone passed their rollout remains too slow for consumers to feel their benefit."

LATEST DEVELOPMENTS:

• Meet the older men making over £7,000 extra a year playing Santa
• British Gas, Octopus, and E.On customers urged 'small adjustments' could save over £100 a year
• 'How I paid off my mortgage before turning 50 - and how you can too!'

Which? has highlighted that the impact on local communities can be devastating, particularly affecting vulnerable members of society.

John Howells, chief executive at Link, said: "The network of 100 banking hubs is keeping cash alive in local communities and is key for those consumers not yet willing or able to use digital."

Link has recommended 176 banking hubs to date, alongside more than 100 deposit solutions.

New rules from the Financial Conduct Authority now require banks to give greater consideration to community cash needs before closing branches.

Richardson from Which? added: "It's vital that the Government holds its commitment to opening 350 hubs in the next few years and it should be prepared to revise that figure upwards if necessary."

More than 6,000 bank branches have closed across the country in the past nine years, new figures show. Which? found that 6,161 have been shuttered since 2015, nearly two-thirds (62 per cent) of the UK banking network.

Bank customers in Yorkshire and Humberside are the worst served in the UK, the Which? study found. The region has just 248 branches left to serve a population of 5.6 million equating to 4.4 open branches per 100,000 people down from 728 open branches, in 2015 13 per 100,000 people. This was the poorest branch access found in the country.

Scotland had the best access to branches, at 6.9 per 100,000 customers, but Which? said that with so many people living in more rural areas that still meant customers still faced long journeys to use a bank.

Which? found that south-east England lost the most branches, with 856 closures, followed by London with 804 but both areas had more branches serving larger populations.