Could YOUR town be next to get hub where 30 banks offer services?

At first glance, the London city of Acton has a lot to offer. It has plenty of green spaces, a bustling outdoor market and a property sector where the average home sells for £750,000. There is certainly money on the streets of Acton.

Yet it’s not what the banks think of this town sandwiched between Ealing and Shepherd’s Bush in west London. They’ve given it the proverbial two fingers.

In recent years all the major banks have closed their branches in Acton’s sprawling High Street, the last to do so was Barclays just over two years ago.

While some branches have been converted into restaurants and supermarkets, giving the town a vibrant cosmopolitan feel, others, such as the imposing Victorian premises of Barclays (established 1852), remain empty, damaging the High Street.

On the stairs is an empty bottle of Staropramen Premium Czech lager. That says it all.

The old Barclays branch recalls a time when banks were part of the fabric of a community and the bank manager was a man in town (yes, scandalously, they were all men in the 1960s and 1970s).

Where banks once dominated, slot machine shops are increasingly thriving.

“It broke my heart when Barclays closed,” says 76-year-old customer Christine Francis, who has lived in Acton for over 20 years.

‘As is the demolition of the Crown Post Office to make way for new flats. Every community deserves a bank and a post office. Certainly.’

She’s right, absolutely right. So it’s encouraging that Acton now has a banking lifeline of sorts – in the form of a so-called banking centre, run by the Post Office.

It launched last month in the city’s Oaks Center shopping arcade after much deliberation over where it should end up. The center has struggled in recent years as shops have closed, although Lidl ensures a steady flow of locals.

The hub, next to a KFC, was set up by Cash Access UK, an organization financed by the banks and set up specifically to get this new ‘back to basics’ form of High Street banking off the ground.

The hub is compact, with a single counter for customers to transact and a private area for one-to-one conversations. Manager Vip Varsani greets customers like long lost friends. A sign on the window proclaims, “Welcome to convenient banking in the heart of your community.”

The Acton hub is one of only seven to have launched across the country so far – and the first in a downtown location. For better or worse, it represents the future of High Street banking for many communities.

Sixty-four hubs have been confirmed as banks withdraw from the High Street at an alarming rate. Four more are announced today, destined for Elland, Leeds; Kirkby in Ashfield, Nottinghamshire; Ware, Hertfordshire; and Mablethorpe, Lincolnshire.

Since the beginning of last year, nearly 1,000 stores have closed or are slated for closure, leaving many communities bankrupt.

And with banks on the verge of closing even more premises, 68 could become hundreds as the number of communities without bank branches increases.

Under regulations just imposed by the government, banks must ensure that consumers and businesses have access to cash.

John Howells, CEO of ATM network Link, says: ‘As more branches close, I expect hundreds of new hubs to open across the UK.’ Link is working with Cash Access UK to determine which communities deserve a hub.

But hubs are not universally loved.

Some experts are impressed. They believe that hubs are watered-down banking – primarily basic, transactional banking.

Others argue they are a better solution than leaving large swaths of the community unbanked when the last branch in town closes.

Bank hubs are shared bank branches where customers of 30 banks and building societies can deposit, withdraw or pay utility bills.

They are suitable for both private and business customers. It is open Monday through Friday and staff from five leading banks, including Building Society Nationwide, are also on hand one day a week to assist with more complex banking matters. They take turns one day at a time.

So in the case of Acton, a NatWest representative is available on Monday, followed by Barclays (Tuesday), Lloyds (Wednesday), Nationwide (Thursday) and Santander on Friday. The five are determined by which banks are most popular in the area.

Hubs are not an automatic entitlement. Under an agreement signed in late 2021 between the banks and pressure groups representing the elderly and small businesses, hubs can only be installed in communities that no longer have a bank and no branch nationwide.

It’s a provision that irks former NatWest banker Derek French – a longtime campaigner for hubs. A nationwide branch prevents a hub from being set up, even though the association does not offer corporate banking: vital for many independent retailers.

A hub is also not a given. It will only be approved if Link says the community is big enough for one.

Rupa Huq, Labor MP for Ealing Central and Acton, says the hub is welcome. ‘Acton is littered with the carcasses of branches abandoned by the banks,’ she adds. “I fought for the hub for a long time, so it’s great that it’s open now.”

But she thinks it can be better. She thinks the signage in the hub’s counter doesn’t make it 100 percent clear that the hub can be used by all bank customers — not just the five whose details are advertised in the counter.

It’s a comment from Valerie Bell, who has lived in Acton for nearly a quarter of a century.

She is a client of Co-op Bank. She says, “I walked past the hub the other day and saw no mention of my bank, so I assumed it wasn’t for me — just the Barclays, Lloyds, Nationwide, NatWest, and Santander customers listed in the window.

Rupa would also like to see the hub offer more services once it is established. “Customers see the Post Office branding and expect to be able to buy stamps and travel money.”

She would also like the hub to be open on Saturdays when Oaks Center is busiest and perhaps open longer during the week.

Local campaigner Maire Lowe also hopes the hub can be backed by an ATM. The town’s main ATM, located in nearby Morrisons, is often out of order, mainly due to demand.

“With a few tweaks, the hub could really benefit the city,” she says.

This friendly criticism is acknowledged by Cat Farrow, chief operating officer at Cash Access UK. She says, “As more hubs open, we will be listening carefully to feedback from residents and small businesses.

“We fully expect the concept to evolve over time to meet the changing needs of people. At the moment, however, our priority is to open more hubs.’

Sure, the Acton hub is popular judging by how many people used it two days ago when I visited.

Not only did people make cash transactions, some also came by to see NatWest’s Kishor Bhudia, the house banker of the day.

MS Khan, general secretary of the mosque across the street, says the hub is good news. He no longer has to take the bus to Ealing, loaded with bags of money donated by believers, to bank them.

Christine Francis also applauds it. “It’s time the banks put something back into Acton,” she says.

It is far too early to judge the merits of the Acton hub and hubs in general. My heart desperately wants them to succeed – like Mr. French, I’ve been campaigning for them since I just ran out of shorts.

But they must be well financed by the banks. They are also demanding that the city regulator use its new powers to ensure banks fund new hubs where access to cash and deposit services is desperately needed.

Two big questions.

• Communities needing help with free ATMs, banking hubs or other shared banking services can contact LINK at link.co.uk/consumers/request-access-to-cash/access-to-cash-in-your-area