Vale of Clwyd MP Dr James Davies has welcomed news that Prestatyn will have a Banking Hub in the High Street by November of this year.
When the town was left without a single bank in 2021, despite being a busy regional shopping centre, James set about trying to secure a Banking Hub in the High Street.
He is therefore delighted that this is to become a reality later this year, with ‘Cash Access UK’, an independent company funded completely by nine banks and building societies (Barclays, HSBC, Lloyds Banking Group, Nationwide Building Society, NatWest Group, Santander, Virgin Money, Danske Bank and TSB), having signed a lease for the former HSBC premises at 35 High Street, Prestatyn.
They are currently in the process of procuring and commissioning building work, which they expect to start during August, with the Hub set to open by November.
James said:
“This is absolutely fantastic news and something I have been working hard to achieve over recent years.
"Prestatyn was left without a single bank when TSB, Barclays and HSBC all closed in 2021. This followed on from the town’s loss of NatWest, Royal Bank of Scotland and building society branches in the preceding five years.
“I led a successful campaign to reinstate cash machines within the High Street. However, I felt this was not enough and I turned my focus to the revival of banking services within the town centre.
"I put the town forward for assessment by LINK, who have taken on the role of assessing the impact of bank branch closures on communities. I also raised Prestatyn’s need for banking services within a number of Parliamentary debates.”
Following a landmark agreement at the start of last year, the banks and leading consumer groups formed UK Finance’s ‘Cash Action Group’. LINK took on the role of assessing the impact of proposed bank branch closures on communities. As of July last year, this agreement was extended to include communities such as Prestatyn where bank closures have already taken place.
LINK can recommend new cash services such as banking hubs and ATMs, according to the cash access needs in each community. New services are then to be delivered by a new Banking Hub Company ‘Cash Access UK’, set up by the banks, or in the case of ATMs, by LINK.
The Financial Services and Markets Bill, which is making its way through Parliament, puts this very welcome voluntary arrangement on a statutory footing. It confers on the Treasury a duty to prepare a cash access policy statement and powers to “designate” banks and firms such as LINK and the Post Office, to take steps in relation to that policy. Further, it gives the Financial Conduct Authority (FCA) powers to take action on those designated firms.
James added:
“In November last year it was announced that Prestatyn, along with Welling, Haslemere and Bury Park in Luton, would receive a Banking Hub. To now hear that this much needed facility will actually be up and running within 12 months of the announcement is both impressive and exciting.”
Banking hubs are similar to traditional bank branches but spaces are shared. They consist of a counter service operated by Post Office staff, where customers of any bank can withdraw and deposit cash, make bill payments, and carry out regular banking transactions.
In addition, they have private spaces where customers can speak to someone from their own bank about more complex issues, with staff from different banks available on different days.
James added:
“While many of us already take advantage of the speed, convenience and functionality provided by digital payments, millions of people across the country continue to rely on the use of cash in their everyday lives - including some of the most vulnerable.
“This is why Banking Hubs are proving so popular in areas where they have already been introduced, and why I welcome the Conservative Government’s recent decision to ensure a legal right of free access to cash for millions of people.
"The amendment to the Financial Services and Markets Bill, which is making its way through Parliament, means that the financial services regulator will have the legal power to preserve access to cash - free to consumers at the point of withdrawal or deposit - for those who need it.
“Many people in the Vale of Clwyd rely on free withdrawals and deposits of cash on the high street. The ability to make deposits is particularly important to support small businesses’ own ability to continue to take cash
“I also know that new ways of banking can be difficult for some in our community, who frequently use cash as their choice of payment.
“I very much look forward to work starting on the new Banking Hub in just a couple of months' time, and to it opening later this year. I’m sure it will be a well-used facility in the town."
A spokesperson for Cash Access UK said:
“There are still millions of consumers and small businesses across the UK who depend on cash and face-to-face banking services. The cost-of-living crisis is heightening this need, as many return to cash as a way of budgeting effectively.
“The Banking Hub in Prestatyn will go some way towards addressing these vital needs and we very much hope the hub will become an integral part of the local community.”
David Haigh of Haigh Developments Ltd, building owner, said:
“We purchased the building from HSBC and were approached by Cash Access UK at the end of 2022. We are delighted to have now completed the lease and been able to help facilitate its delivery with Cash Access. We are sure the Banking Hub will be a great asset to Prestatyn.”
https://www.jamesdavies.org.uk/campaigns/ensuring-access-cash-prestatyn
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