HSBC becomes first bank to agree to delay closure of one last branch in the city until alternative banking arrangements are in place
HSBC is the first bank to agree to delay the closure of one last branch in the city until alternative banking arrangements are made.
The bank’s move marks a victory for The Mail on Sunday’s Keep Our Cash campaign. It means a number of communities won’t be bankless for months now while a new banking center opens – or a cash deposit service is introduced.
Last year, the banks agreed to fund the creation of hubs (community banks) in cities where the last branch would close — and an independent reviewer (ATM network Link) had decided one was needed to ensure access to cash.
Don’t count on it: the rollout of the hubs is lengthy as Cash Access UK – responsible for installing them – has struggled to find suitable sites
However, the roll-out of the hubs has taken a long time as Cash Access UK – responsible for installing them – has struggled to find suitable locations. The average time it takes a hub to get up and running is more than a year. Only four have opened so far, while 43 more are promised.
As the MoS highlighted last month, HSBC was set to close its Oakham facility in June. This would have left the city and the wider county of Rutland without a bank.
Although Link recommended a hub for Oakham, it’s still a long way off. HSBC told the MoS it would now ‘pause’ Oakham’s closure until a hub was in place. It also said it would suspend closures in Ripley, North Yorkshire, and Colwyn Bay, Conwy, until the cash deposit services Link recommended were established.
Says HSBC: ‘We understand that closing a branch can be difficult for some customers and the wider community – especially when it is the last in the area and there is a gap between closing and opening a new hub.
“Wherever a hub is recommended and we have a closure, we will pause it for up to 12 months to give Cash Access UK time to develop a hub.”