Future of Financial Services

Charlotte Nichols Excerpts

Monday 9th November 2020 Commons Chamber

[Rishi Sunak]

My hon. Friend is right about the importance of Leeds to our financial services ecosystem in the UK, and about the importance of that industry to jobs in his local economy. We are keen to see the industry prosper across the country, in his constituency and elsewhere, and one thing that might be of interest to his constituents is the review that we are launching into the UK funds regime. That review will specifically consider whether, and how, fund domicile activity could be focused in specific UK areas to support our levelling-up agenda. I look forward to hearing my hon. Friend’s contributions to that, and I know that the industry in his area will continue to grow locally from strength to strength.

[Charlotte Nichols (Warrington North) (Lab)]

The pandemic has accelerated the decline in the use of cash across the country, but there are still 8 million people who say that it is an economic necessity, and many others who are employed in the cash industry, including in Warrington North. According to the National Audit Office, the Bank of England does not know the whereabouts of around two-thirds of known currency—about £50 billion —which may be in the shadow economy. Does that show the need for a comprehensive plan for cash?

[Rishi Sunak]

My hon. Friend the Economic Secretary is absolutely abreast of the issue and has been for a while, which is why we have a strategy around protecting access to cash. We announced an intention to consult and potentially legislate at Budget. The consultation is outstanding, and I would very much welcome the hon. Lady’s comments, because she is right: although the economy is transitioning in a digital way, we need to protect access to cash for those who need it.