Asked by: Lord Stone of Blackheath (Non-affiliated - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the levels of compliance by businesses with the Bills of Exchange Act 1882; and what steps they will take to ensure that cash is accepted in all retail establishments.
Answered by Baroness Penn - Minister on Leave (Parliamentary Under Secretary of State)
A bill of exchange is a paper financial instrument that is used to transfer money from one person to another instead of the transfer of the actual money itself. The Bills of Exchange Act 1882 does not specify how they must pay if one is agreed.
As technology and consumer behaviour changes, it should remain the choice of individual organisations as to whether to accept or decline any form of payment, including cash or card, based on their consideration of factors such as customer preference and cost.
Nonetheless, the Government recognises that many people continue to transact in cash across the UK. The Government is currently taking legislation to protect access to cash across the UK through Parliament as part of the Financial Services and Markets Bill 2022. The legislation will establish the Financial Conduct Authority as the lead regulator for access to cash with responsibility and powers to seek to ensure reasonable provision of withdrawal and deposit facilities. This legislation will support local businesses to continue accepting cash by ensuring they have reasonable access to deposit facilities.
Further details about the Financial Services and Markets Bill can be found on the Parliament website.
Asked by: Lord Stone of Blackheath (Non-affiliated - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the prevalence of retailers no longer accepting cash as a form of payment; and what steps they will take to ensure that cash is accepted in all retail establishments.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
As technology and consumer behaviour changes, it should remain the choice of individual organisations as to whether to accept or decline any form of payment, including cash or card, based on their consideration of factors such as customer preference and cost.
Nonetheless, the Government recognises that many people continue to transact in cash across the UK and engages closely with financial regulators to monitor and assess trends relating to cash. Research undertaken by the Financial Conduct Authority found that 98% of small businesses would never turn away a customer if they needed to pay by cash.
The Government has introduced legislation to protect access to cash across the UK to Parliament as part of the Financial Services and Markets Bill 2022. The legislation will establish the Financial Conduct Authority as the lead regulator for access to cash with responsibility and powers to ensure that people can continue to access cash withdrawal and deposit facilities. This legislation will support local businesses to continue accepting cash by ensuring they have reasonable access to deposit facilities.
Further details about the Financial Services and Markets Bill can be found on the Parliament website.