Bank Closures and Banking Hubs

Yasmin Qureshi Excerpts

Thursday 5th June 2025 Commons Chamber

[Yasmin Qureshi (Bolton South and Walkden) (Lab)]

I begin by thanking my hon. Friend the Member for Blyth and Ashington (Ian Lavery) for securing this important debate.

From Farnworth and Kearsley to Walkden and beyond, people across my constituency have seen at first hand the impact of losing high street banks. In Farnworth, for example, last month we saw NatWest on Market Street close on 15 May and Lloyds on the same street close on 28 May. Those were not just buildings, but vital services that people have depended on for decades. In Walkden, we are now set to lose the Halifax branch on Bolton Road. People are telling me that they are worried about how they will manage, especially those who do not bank online. One woman in her late 70s told me:

“I never thought I’d see the day when there wasn’t a single bank left in town.”

A gentleman in his early 70s said he does not feel safe banking online, and must go all the way into Bolton just to do basic transactions. These things are a necessity, not a luxury for them.

The issue is impacting small businesses, too, especially small traders who trade in cash. Some are now forced to drive out of town just to deposit takings. That means lost time, lost footfall and more pressure on our already struggling high streets. That is why I strongly support the idea of banking hubs. They are shared spaces that allow customers from different banks to access services under one roof, with in-person staff available. Under the current rules, Farnworth, which is undergoing a major regeneration, does not qualify for a hub because it has nearby cash machines. A few ATMs do not meet the needs of a whole town; what people need is real, face-to-face advice and service, especially those who are vulnerable or less digitally confident.

The criteria set by the Financial Conduct Authority are far too rigid. They do not take account of the local picture, the age of the population, digital exclusion or public transport access. Millions of people in the UK still rely on cash to budget, and last year alone £80 billion was withdrawn through the Link network. That is £1,400 a person.

In Farnworth, a local petition has been launched calling for a banking hub that properly serves the needs of residents in Farnworth and Kearsley. Will the Minister please review the true impact of branch closures on communities such as mine? Will they reform the criteria for banking hubs so that they reflect real-life need, not just cashpoint numbers, and will they ensure that face-to-face banking is protected not just in principle, but in practice? It is about managing things fairly.