FCA publishes access to cash rules

The Financial Conduct Authority (FCA) published its final access to cash rules on 24 July 2024, and they came into force on 18 September 2024¹. The rules require banks and building societies designated by the Treasury to assess and fill gaps, or potential gaps, in cash access provision that significantly impact consumers and businesses².

The FCA said the regime was introduced because Parliament gave it a new remit and powers under the Financial Services and Markets Act 2023, which received Royal Assent on 29 June 2023¹. The Act requires the regulator to "seek to ensure reasonable provision" of cash deposit and withdrawal services for personal and business current accounts across the UK, including access to both notes and coins and access free of charge for consumers with personal current accounts².

Under the rules, designated firms must identify gaps in cash provision, assess a wide range of local needs, and provide additional cash access services promptly where assessments find a significant gap². They must also respond to requests from local residents, community organisations and representative groups for an assessment of whether gaps exist, and keep facilities including bank branches and ATMs open until additional cash services identified are available¹. The Treasury announced the designation of the banks and building societies subject to the rules, and of an operator of cash access coordination arrangements, in May 2024¹.

The FCA's Financial Lives 2022 survey found that 6% of UK adults used cash to pay for everything or most things in the 12 months since May 2021, rising to 9% among those in vulnerable circumstances¹. The FCA's data shows 95.0% of the UK population are within 1 mile of a free-to-use cash withdrawal point, and 99.7% are within 3 miles of a free-to-use cash access point¹.

The FCA's powers focus on access to cash rather than wider banking services, and do not prevent bank branches from closing¹. Closures of cash access services already announced to take place before 18 September 2024 are not subject to the new regime, though the FCA said firms should not rush through closures before that date and should communicate closures to customers at least 12 weeks in advance under existing guidance².

Why it matters for households

The rules apply to firms designated by the Treasury, not to all banks and building societies¹. For customers of designated firms, a planned closure or change to local cash services can now trigger an assessment of whether local cash access needs are met, and where a significant gap is found the firm must deliver additional cash services¹. Requests for an assessment can come from local residents, community organisations and representative groups¹. Non-designated personal current account providers with 10 or more branches, the Post Office and operators of payment systems through which cashback is provided may be subject to new requests for information, though they are not subject to the rules themselves².

What happens next

The FCA had said it would publish an evaluation of the access to cash regime in 2027, but has paused that evaluation because the Government commissioned an independent Review of Access to Banking Services, expected to report in October 2026¹. The FCA said it will set out its next steps after the Review publishes its findings, and will continue to monitor and supervise the regime and publish regular coverage updates in the meantime¹.