Context
The FCA’s access to cash regime was introduced to maintain reasonable provision of cash access services, with its rules becoming effective in September 2024. During the first year 121 banking hubs have opened, alongside a further 93 cash deposit services such as ATMs and Post Office counters.
The FCA’s rules aim to reasonably address the local cash needs of consumers and businesses, including ensuring businesses have reasonable access to deposit facilities and can obtain different denominations of cash to provide change for customers. This can help ensure retailers who do wish to accept cash remain able to deposit and withdraw cash using nearby services.
Key points to note and next actions
The FCA anticipates commencing a review of the access to cash regime towards the end of 2026, roughly 2 years after the rules took effect, and publishing the findings in Q2 2027. The FCA sees this timeframe as allowing sufficient time for the impacts of the policy to materialise. The review will contain both a qualitative and quantitative assessment of the regime, including in-depth engagement with stakeholders to ensure a range of views are considered.
While the exact scope and methodology has yet to be determined, the review is to examine both how the FCA’s policy is operating (e.g. compliance, firm response, and costs to firms) and its success in preventing significant gaps in cash access for consumers and businesses (e.g. supply-side impacts and changes in user perspectives). The review will assess the costs and benefits of the rules and if the approach to maintaining sustainable cash access services is proportionate and effective