New financial institution facilities will open however printers are lacking

Fifteen new banking centres have been introduced on the identical day that strict guidelines relating to department closures and entry to money come into power.

These hubs are areas shared by totally different banks that function fundamental private and enterprise banking providers.

As per the brand new guidelines, they will open outlets even when there are different operators within the metropolis, however questions have been raised on the extent of amenities.

Many outlets aren’t geared up with printers, leaving individuals unable to acquire paper statements, which employers or landlords might demand.

Figures from client organisation Which? present that 6,000 financial institution branches have closed prior to now 9 years, leaving many locations with no financial institution department and restricted entry to money.

Banks and constructing societies will now need to assess whether or not areas have affordable entry to money once they shut their branches, beneath new guidelines – the primary time the rule has been included in regulation – which come into impact on Wednesday and are ruled by the City watchdog, the Financial Services Authority (FCA).

If this doesn’t occur then extra amenities will should be supplied earlier than closing the department.

Such amenities might embrace shared centres, usually run by the put up workplace, which permit clients of any financial institution to withdraw and deposit money. Community employees from totally different banks go to on a rotational foundation as soon as every week.

However, issues have emerged at some centres, the place questions are being raised in regards to the high quality of service and the extent of funding by banks.

Many of those banks would not have printers, inflicting issues for purchasers in getting arduous copies of statements and paperwork.

Last week, the managers appeared earlier than Tulip Siddique, Economic Secretary, Ministry of Finance, who requested them to boost the providers accessible on the centres.

“Banking hubs are lifelines for local communities that have lost their last bank branch. I am confident that banks will fulfil their commitment [at the meeting]”We must take a more proactive approach to meeting the needs of local communities,” he said.

Bank-owned Cash Access UK, which supplies the hubs, said it would consider acquiring printers.

The number of people using cash primarily for daily expenditures has declined sharply. Cost of living hits four-year high during crisisThis is revealed by data from banking trade body UK Finance.

The hub is seen as crucial for people who are not digitally enabled, are unable to access online services, or are vulnerable to still access banking services.

So far, 81 centres have been opened. The government has promised in its manifesto that 350 centres will be opened in the next five years, of which 230 will be opened by the end of next year.

There has been a demand for setting up new centres quickly and on a larger scale.

Ron Delnevo, president of the Payment Choice Alliance, called the current plan an “empty gesture.”

“This is not a real answer to the needs of thousands of communities across the UK who have been abandoned by the big banks,” he mentioned.

“The fact that bank centres don't need to have 24/7 ATMs is also ridiculous.”

Fifteen new hubs have been introduced on the day the FCA's new guidelines come into power. These embrace areas the place there may be nonetheless a constructing society however the place, for instance, current department opening hours are restricted to a few days.

Earlier, beneath the outdated guidelines, it was not attainable to arrange a hub in such an space.

The new centres will open in Sidcup in London, Normanton in West Yorkshire, Hailsham in East Sussex, Frome in Somerset, Sheerness in Kent, Whitley Bay in Tyne and Wear, Rugeley in Staffordshire, Newquay in Cornwall, Market Harborough in Leicestershire, Thetford in Norfolk, Monmouth in Wales, Harpenden in Hertfordshire, Huntly in Aberdeenshire, Yeadon in West Yorkshire and Morecambe in Lancashire.

Most of those are really useful by Link, which oversees money entry and ATM providers within the UK.

Its deputy chief government, Adrian Roberts, mentioned: “The new rules which come into force today are great news for consumers and businesses and will ensure that cash remains available on our high streets for years to come.”

Last week it was revealed that the final financial institution, within the city of Ripley in Derbyshire, had additionally been “paused” due to the brand new guidelines.