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New rules to protect access to cash already having an impact, FCA says

New rules to protect access to cash already having an impact, FCA says
Photo: iStock

New rules from the Financial Conduct Authority (FCA) to protect access to cash came into force on 18 September and the regulator said they are already having a positive impact in local communities.

Since the rules were confirmed in July, LINK, which manages the UK’s cash access and ATM network, has reassessed the needs of local areas where banking services are changing.


As a result of this, FCA revealed that 15 communities, which had not previously been assessed as needing a banking hub, will now get one, six communities will now have an ATM at their banking hub and six areas will get an automated deposit service or enhanced Post Office.

Existing services will not be removed before the replacement services are in place. These changes are a direct result of the new rules.

Under the rules, banks and building societies must assess whether changes to local services, like closing branches or cash machines, leave local communities lacking ways to take out or pay in cash.

Additionally, residents, businesses, local representatives and charities who feel there is a gap in cash access can request a review. Charities or local groups will be able to share a collective view of community needs, including the most vulnerable residents and businesses which rely heavily on cash.

LINK will then have 12 weeks to do an assessment which examines whether there are gaps in the ability to deposit and withdraw cash. If there are significant gaps, banks and building societies will need to deliver additional cash services to meet the local area's needs. These could include banking hubs, cash machines, deposit ATMs and Post Office facilities. The FCA will use data to oversee how the rules are working in practice.

“The way we spend money is changing, and far fewer of us use cash day-to-day. We don’t want to stand in the way of change, but we do want to ensure reasonable access for those who continue to rely on cash. Our new rules are already having an impact, protecting vital services for communities across the country,” Sheldon Mills, executive director for consumers and competition at the FCA, said.

The FCA’s 2022 Financial Lives Survey found that, while digital payments are popular, 3.1 million adults still use cash for everyday payments. The new rules are intended to ensure that individuals and businesses who rely on cash can continue to access it.

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Indies: It’s criminal police and government turn blind eye to shoplifting

Independent retailers are demanding tougher police action, more bobbies on the beat and harsher punishments as shoplifting levels reach an all-time high, a new survey reveals.

A whopping ninety-one per cent of respondents to a survey conducted by the Federation of Independent Retailers (the Fed) called for more police patrols on streets, while a similar number - 90 per cent - said that shoplifters should be handed harsher sentences.

Seven out of 10 respondents (72 per cent) said their stores had experienced shoplifting, break ins and damage to property, while they and their staff had been physically or verbally threatened.

Just under half of respondents (47 per cent) said they and their employees had been threatened or had suffered abuse and violence when asking for proof of age ahead of selling an age-restricted product.

Forty-four per cent reported that they and their staff had faced abuse or violence because they had refused to make a proxy sale – selling an age restricted product to a customer buying for a minor.

The results of the Fed’s survey came as new figures from the Office of National Statistics revealed that shoplifting was at a record high, with almost half a million offences recorded last year.

According to the ONS, 469,788 offences were logged by forces in the year to June 2024 – a 29 per cent increase on the previous 12 months.

The ONS added that this figure was the highest since records began – in March 2003.

“Inadequate responses from the police and a slap on the wrist for offenders means that shoplifting is soaring, and offenders are becoming more aggressive and brazen,” said Fed National President Mo Razzaq.

“From the responses we received, it is clear that real action is needed by police, by courts and by the government to stem the overwhelming tide of crime against retailers and their staff. Everyone deserves to feel safe at work and for their businesses to be protected against criminals.

“Fed members are also sending a clear message that one of the catalysts for verbal and physical abuse in stores is asking for proof of age before selling an age restricted product. If the government presses ahead with its plans to phase out smoking and vaping through a progressive ban to gradually end the sale of tobacco products across the country, independent retailers will be subject to even greater levels of violence, abuse and theft.”

Calling for action from the government and not just words, Mr Razzaq continued: “Without effective deterrent, criminals and opportunistic members of the public will continue to commit crimes.”

According to Ministry of Justice statistics, during the year to March 2024, 431 fines were handed out for retail theft under £100, while Home Office statistics for the same period show that 2,252 cautions were accepted for shoplifting.

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