Major rule modifications for patrons at 14 banks together with HSBC, Lloyds and NatWest

On Sep 18, 2024

Customers and small businesses are set to benefit from new rules being introduced across 14 banks.

The Financial Conduct Authority (FCA) is introducing rules that will force banks and building societies to evaluate whether local communities have adequate access to cash services. If a community is found lacking, banks will be required to provide additional services, including branches and ATMs..

The new rules, effective from today (Wednesday September 18), will demand banks and building societies to respond to residents, local organisations, and other groups in a local community if they request an assessment to identify any gaps in local access to cash services.

Click for more of the latest news from the Daily Star.

The FCA has confirmed that these gaps could be filled with various measures, including Post Office facilities. It will be the responsibility of the banks themselves to deliver any necessary additional services to bridge the gap.

Some ‘banking deserts’ have emerged across the UK
(Image: In Pictures via Getty Images)

The FCA’s rules also state that there should be no unreasonable delays in providing solutions to gaps in cash services. If frequent violations of the rules are discovered, the FCA has stated it will use its powers to rectify them, reports the Express.

In areas where there is only one bank branch, the rules will mandate them to establish a banking hub and ensure it is active and functional before closing the doors of that branch. This should help guarantee that no local community is left without cash services available through its bank or building society.

Banking hubs, overseen by the Post Office, are shared centres providing a range of services usually found at local bank branches, including cashing cheques and withdrawing money.

Here are the 14 banks that will need to adhere to the new rules:

AIB Group (UK) plc
Bank of Ireland (UK) plc
Bank of Scotland plc (including Halifax)
Clydesdale Bank plc (Virgin Money)
HSBC UK Bank plc
Lloyds Bank plc
National Westminster Bank plc (including Ulster Bank)
Nationwide Building Society
Northern Bank Limited (Danske)
Santander UK plc
The Co-operative Bank plc
Lloyds Bank plc
The Royal Bank of Scotland plc
TSB Bank plc

FCA figures reveal that between June 2021 and June 2023, a staggering 1,358 banks and building society branches shut their doors. An additional 69 branches are set to close in September, with Halifax, Royal Bank of Scotland (RBS), Lloyds, NatWest and Barclays among those affected.

For the latest breaking news and stories from across the globe from the Daily Star, sign up for our newsletters.

Money