Oral Answers to Questions

Jeff Smith Excerpts

Tuesday 19th December 2023 Commons Chamber

[Jeremy Hunt]

Because the way we return the overseas aid budget to 0.7% is to grow the economy. By cutting national insurance, we put nearly 100,000 more people into the national workforce, filling nearly one in 10 vacancies in companies up and down the country.

[Jeff Smith (Manchester, Withington) (Lab)]

7. What recent steps he has taken to help ensure people have access to banking services.

[The Economic Secretary to the Treasury (Bim Afolami)]

The Government believe that all customers should have appropriate access to banking services, which is why we have legislated to protect access to cash. We also support the FCA’s bank branch closure guidance as well as industry initiatives to provide in-person access, including shared banking hubs at post offices, and access via digital means.

[Jeff Smith]

More than 5,000 bank branches have closed since 2015. Sadly, the Lloyds bank in Withington village will join the many more branches closing in the coming months and leave Withington without a bank branch, but by the end of the year the industry will have delivered only 30 shared banking hubs. Does the Minister think that the pace and scale of that roll-out is good enough?

[Bim Afolami]

First, it is worth stating that, as the hon. Gentleman knows, the decisions on whether to open or close branches are commercial ones, and the Government do not interfere with that. However, we have legislated to protect access for cash. The banks need to abide by the Financial Conduct Authority’s guidance, with the latest guidance published only last week. In relation to shared banking hubs, we should indeed increase the pace at which they are rolled out, and I am talking with the industry about how to do that.