Access to Banking Services in Northern Ireland published by CCNI

The Consumer Council Northern Ireland (CCNI) published Access to Banking Services in Northern Ireland in June 2023, an analysis of bank closures across Northern Ireland from 2020 to early 2023¹. The analysis found that 21% of consumers have seen their local bank close within the last three years¹.

Across Northern Ireland, 166 electoral wards have two or more banking services within their boundaries, 187 have just one banking service and 109 have no banking service at all, according to the CCNI analysis¹. The number of cash access points across all types in Northern Ireland is 16,000, below Scotland at 50,000 and Wales at 27,000¹.

Two thirds of rural dwellers living in the Antrim and Newtownabbey District Council area live more than one mile from free access to cash¹. In all District Council areas except Belfast City and Ards & North Down, roughly half of people living in a rural location are more than one mile away from free access to cash services¹.

The briefing paper that cites the CCNI analysis also sets out wider context on cash use and access. In December 2021, the Bank of England reported that transactional cash use had fallen from over 50% of payments in 2010 to only 17% of all payments in 2020¹. FCA research found that living in Northern Ireland makes an individual over twice as likely to rely on cash than a similar individual in England, and that not being in employment, being permanently sick or disabled, or being retired makes an individual 83% more likely to rely on cash than average¹.

On the financial services sector itself, the most currently available in-depth analysis was published in 2020 by the Department for the Economy¹. That report identified banking as the largest employer with 10,000 staff working in 355 sites¹. The four indigenous pillar banks, Ulster Bank, Danske Bank, Bank of Ireland and Allied Irish Bank, account for 5,000 staff at 250 sites, while United Kingdom and international banks such as Halifax, Citi and Santander also account for 5,000 staff, but at fewer sites (250)¹. The 2020 report found that the fintech subsector is responsible for 15% of employment despite having a share of less than 2% of offices, and that nearly three quarters of all financial services roles in Northern Ireland were back or middle office facing¹.

Why it matters for households

The CCNI analysis covers the period from 2020 to early 2023, and its finding that 21% of consumers have seen their local bank close within the last three years indicates how many households have lost a nearby branch¹. The ward-level figures show that 109 electoral wards have no banking service at all, while 187 have just one¹.

Distance to free access to cash is uneven. Outside Belfast City and Ards & North Down, roughly half of rural residents are more than one mile from free access to cash, and in Antrim and Newtownabbey the figure is two thirds of rural dwellers¹. Northern Ireland also has fewer cash access points of all types (16,000) than Scotland (50,000) or Wales (27,000)¹.

Reliance on cash is higher in Northern Ireland than in England: FCA research found living in Northern Ireland makes an individual over twice as likely to rely on cash as a similar individual in England¹. The same research found that not being in employment, being permanently sick or disabled, or being retired makes an individual 83% more likely to rely on cash than average¹. The briefing paper also notes that digital banking security features such as card readers and passwords can be difficult for older and disabled people¹.

What happens next

In Northern Ireland, banking hubs are planned in Kilkeel, Newcastle, Comber, Warrenpoint and Portrush, but at the time of writing only the Kilkeel and Portrush hubs are operational¹. The Financial Services and Markets Act 2023 received Royal Assent on 29 June 2023 and gives the Financial Conduct Authority and the Bank of England powers to regulate retail cash access and wholesale cash distribution respectively¹. In August 2023, the Treasury published its Cash Access Policy Statement, and the new FCA rules under FSMA 2023 came into force on 18 September 2024¹.