Asked by: Imogen Walker (Labour - Hamilton and Clyde Valley)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the adequacy of (a) access to cash and (b) the level of cash acceptance in towns and rural communities in Scotland.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Government recognises the importance of cash, understanding that it continues to be used by millions of people across the UK, including those in rural and costal areas. The most recent data from the Financial Conduct Authority shows 98.1 per cent of people in rural areas live within 3 miles of a free-to-use cash access point offering withdrawals
The Financial Conduct Authority (FCA) assumed regulatory responsibility for access to cash in September 2024. Its rules require the UK’s largest banks and building societies to assess the impact of a closure or material alteration of a relevant cash withdrawal or deposit facility and put in place a new service if necessary. As part of this responsibility, the FCA must also seek to ensure that there is reasonable provision of free withdrawal and deposit facilities in relation to personal current accounts. This supports businesses to ensure they can continue to accept cash by ensuring that they have reasonable access to cash deposit facilities.
The Government continues to work closely with industry to support the roll-out of 350 banking hubs by the end of this Parliament. Over 280 hubs have been announced so far, and more than 240 are already open across the UK, including 31 in Scotland.
The Government is committed to continuing to monitor levels of cash acceptance and to evaluating all relevant payments data, including data on consumer preferences and trends, to inform future policy and help ensure that consumers and businesses have a choice of payment methods to meet their needs.
Asked by: Wendy Morton (Conservative - Aldridge-Brownhills)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment the Government has made of the adequacy of the current criteria used by LINK to determine eligibility for banking hubs; whether the independent review of access to banking services will consider the suitability of those criteria in rural, coastal and market town communities; and whether communities previously refused a banking hub will be able to seek reassessment following publication of the review.
Answered by Rachel Blake
LINK, the operator of the UK’s largest ATM network, is responsible for assessing a community’s access to cash needs. When asked to carry out a cash access assessment, LINK takes into consideration a wide range of criteria, including those unique to each location, such as the size and vulnerability of the population, existing and remaining cash access facilities and the number of shops. Specifically, LINK takes into consideration population demographics, public transport links and whether it is reasonable for people to travel to nearby facilities, including the actual travel distance. LINK uses a catchment area of 3 miles in rural locations and 1 mile in urban areas and considers if there is a significant impact on nearby towns.
The FCA is legally required to keep its rules under review, including those relating to access to cash. Where a resident, community organisation or other interested party feels access to cash in their community is insufficient, they can submit a request for a cash access assessment. LINK’s access to cash assessment process can be found on its website.
There are currently no existing legislative or regulatory protections for the provision of access to in-person banking services. That is why on 14 May, the Government commissioned an independent Review into Access to Banking Services to assess the impact of changes in the provision of in-person banking services. The Review will examine whether changes to access to in person banking services are causing consumer detriment, the scale of any detriment, and who and where it affects, including in rural, coastal, and market town communities, and will consider how current arrangements for assessing local need are operating in practice. The Chair will provide a report and recommendations to the Government upon its conclusion, at which point the Government will consider any future actions. Alongside the Review, the Financial Services and Markets Bill includes a power to allow the Government to take action in future to protect access to banking services, should this be necessary. This power ensures the Government can act swiftly and proportionately, including through future regulation, if the evidence from the Review supports intervention.
The Government understands the importance of banking services to communities, including those in rural and coastal areas and market towns, and continues to work closely with industry to support the roll-out of 350 banking hubs by the end of this Parliament. Over 275 hubs have been announced so far, and more than 235 are already open across the UK.
In addition, customers can also access everyday banking services through the Post Office network, with over 10,000 branches providing services such as cash withdrawals and deposits, balance enquiries and bill payments.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the absence of in-person banking services in (a) South Holland and the Deepings constituency and (b) Lincolnshire on blind and partially sighted people.
Answered by Rachel Blake
Banking is changing, with many customers benefitting from the convenience and flexibility of managing their finances remotely. However, the Government recognises that these changes may have resulted in detriment for some customers, particularly those who rely on in person banking services.
The Government recognises the importance of access to in person banking services for blind and partially sighted people, including in South Holland and the Deepings and in Lincolnshire, and across the United Kingdom. We are committed to ensuring that people who need in person banking services, including vulnerable and disabled customers, can continue to access essential services.
The Government is working closely with industry to support the roll out of 350 banking hubs by the end of this Parliament. Over 275 hubs have been announced so far, and more than 235 are already open. Banking hubs provide everyday counter services, including cash withdrawals and deposits, bill payments and balance enquiries, and also offer space for customers to meet community bankers from their own bank to carry out additional banking services.
The Government continues to engage with industry to improve the consistency, accessibility and range of services available in banking hubs so that they meet the needs of people and communities.
In addition, the Government has commissioned an independent Review into Access to Banking Services to assess whether changes in the provision of in person banking services are causing consumer detriment, including to specific groups such as disabled customers. The findings of the Review will inform any further action that may be needed.
Alongside this, the Government intends to include a power in forthcoming financial services legislation to enable it to act to protect access to banking services, should this be necessary.
More widely, the Government published its Financial Inclusion Strategy last year which sets out a range of ambitious measures for government and industry to improve financial inclusion for underserved groups across the UK. This includes a focus on access to banking and accessibility, with interventions to make it easier for individuals to access a bank account and to make financial products more accessible through an inclusive design working group.
Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will hold discussions with representatives of LINK on the roll out of banking hubs including villages and small towns in rural areas.
Answered by Rachel Blake
Banking is changing, with many customers benefitting from the convenience and flexibility of managing their finances remotely.
However, the Government understands the importance of banking services to communities, including those in rural areas, and is working closely with industry to support the roll-out of 350 banking hubs by the end of this Parliament. Over 275 hubs have been announced so far, and more than 235 are already open, including 7 in Northern Ireland.
The Government engages regularly with LINK, the operator of the UK’s largest ATM network, as well as industry and the Financial Conduct Authority, on access to cash and banking services.
Banking hub locations are independently recommended by LINK. When a bank branch closes, there is a material change to a cash service, or a community request is received, LINK conducts an access to cash assessment under the regime set out in the Financial Services and Markets Act 2023. This considers a range of factors including population demographics and transport links, with criteria reflecting differences between rural and urban areas. Any decisions on changes to LINK’s assessment criteria are a matter for LINK, the financial services sector and the Financial Conduct Authority, which oversees the regime.
Customers can also access everyday banking services through the Post Office network, with over 10,000 branches providing services such as cash withdrawals and deposits, balance enquiries and bill payments.
The Government keeps the effectiveness of access to cash and banking arrangements under review through ongoing engagement with industry, LINK and the Financial Conduct Authority to ensure they meet the needs of local communities.
As such, on 14 May the Government commissioned an independent Review into Access to Banking Services to assess the impact of changes in the provision of in-person banking services. The evidence gathered will inform future decisions on whether further action is needed. Alongside this, the Government intends to include a power in forthcoming financial services legislation to enable it to act, if necessary, to protect access to banking services.
Asked by: Callum Anderson (Labour - Buckingham and Bletchley)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure the UK remains internationally competitive in financial technology innovation.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The UK is a world leader in Fintech, and attracted $3.6 billion of investment in 2025, second only to the US. The Government is committed to making the UK the world’s most technologically advanced global financial centre, and remaining a leading jurisdiction for Fintech firms to start, scale, list, and stay.
In addition to measures announced in the Financial Competitiveness and Growth Strategy and at Budget, the Government set out at UK Fintech Week 2026 further detail on how it intends to modernise payment services regulation and update it to support new innovations in money and payments, ahead of soon publishing a consultation inviting the payments sector to feedback. This includes improving the regulation of payment services and electronic money by better integrating it with the UK’s core regulatory approach for financial services; regulating stablecoins for their use in payments, where these stablecoins have been issued under the forthcoming new regulated activity for stablecoin issuance in the UK; exploring how the regulation of payments services should adapt to payments conducted by AI agents; and providing the FCA new powers to regulate the future of Open Banking. The Government also published as part of the package draft secondary legislation to cut administrative burdens for companies wanting to provide stablecoin payments.
The Government has also appointed Chris Woolard CBE as Wholesale Digital Markets Champion, to provide market leadership and support industry progress on the development of a tokenised wholesale financial markets ecosystem.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to her Department’s press release entitled Chancellor gets banks to step up mortgage support for customers, published on 26 March 2026, what specific commitments were agreed by lenders during the meeting referenced in the announcement.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
On 26 March 2026, the Chancellor met with the six largest mortgage lenders (Lloyds Banking Group, NatWest Group, Barclays UK, HSBC UK, Santander UK, and Nationwide Building Society), alongside UK Finance, to discuss the outlook for mortgage rates in light of the conflict in Iran, how lenders are responding, and what practical support is available to concerned borrowers. At this meeting, these lenders committed to proactively contact 1.6 million customers whose fixed-rate deals end between now and the end of the year, setting out options well before payments change.
Lenders across the industry also reaffirmed their commitment to the Mortgage Charter. The Mortgage Charter is a voluntary agreement that covers 90% of the sector, and provides flexibilities to help borrowers manage their repayments over a short period. This includes it permitting borrowers to switch to an interest only mortgage, or extend their mortgage term, for up to 6 months, after which they can switch back without a new affordability check or it affecting their credit score. The Financial Conduct Authority regularly publish data on uptake of the Mortgage Charter.
The Mortgage Charter is in addition to Financial Conduct Authority rules which provide significant protections for all borrowers, including ensuring all customers are treated fairly. Any borrower who is concerned about making their repayment should contact their lender. Seeking support and engaging with lenders to discuss options will not affect a borrower’s credit score in any way, and earlier engagement will mean that lenders can offer more support.
More broadly, the market remains open, resilient and competitive. Prospective first-time buyers may find it useful to speak to a broker in order to find the best possible product available for their circumstances.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to her Department’s press release entitled Chancellor gets banks to step up mortgage support for customers, published on 26 March 2026, whether the commitments made by lenders are voluntary or legally binding.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
On 26 March 2026, the Chancellor met with the six largest mortgage lenders (Lloyds Banking Group, NatWest Group, Barclays UK, HSBC UK, Santander UK, and Nationwide Building Society), alongside UK Finance, to discuss the outlook for mortgage rates in light of the conflict in Iran, how lenders are responding, and what practical support is available to concerned borrowers. At this meeting, these lenders committed to proactively contact 1.6 million customers whose fixed-rate deals end between now and the end of the year, setting out options well before payments change.
Lenders across the industry also reaffirmed their commitment to the Mortgage Charter. The Mortgage Charter is a voluntary agreement that covers 90% of the sector, and provides flexibilities to help borrowers manage their repayments over a short period. This includes it permitting borrowers to switch to an interest only mortgage, or extend their mortgage term, for up to 6 months, after which they can switch back without a new affordability check or it affecting their credit score. The Financial Conduct Authority regularly publish data on uptake of the Mortgage Charter.
The Mortgage Charter is in addition to Financial Conduct Authority rules which provide significant protections for all borrowers, including ensuring all customers are treated fairly. Any borrower who is concerned about making their repayment should contact their lender. Seeking support and engaging with lenders to discuss options will not affect a borrower’s credit score in any way, and earlier engagement will mean that lenders can offer more support.
More broadly, the market remains open, resilient and competitive. Prospective first-time buyers may find it useful to speak to a broker in order to find the best possible product available for their circumstances.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to her Department’s press release entitled Chancellor gets banks to step up mortgage support for customers, published on 26 March 2026, which mortgage lenders attended the meeting referenced in the press release.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
On 26 March 2026, the Chancellor met with the six largest mortgage lenders (Lloyds Banking Group, NatWest Group, Barclays UK, HSBC UK, Santander UK, and Nationwide Building Society), alongside UK Finance, to discuss the outlook for mortgage rates in light of the conflict in Iran, how lenders are responding, and what practical support is available to concerned borrowers. At this meeting, these lenders committed to proactively contact 1.6 million customers whose fixed-rate deals end between now and the end of the year, setting out options well before payments change.
Lenders across the industry also reaffirmed their commitment to the Mortgage Charter. The Mortgage Charter is a voluntary agreement that covers 90% of the sector, and provides flexibilities to help borrowers manage their repayments over a short period. This includes it permitting borrowers to switch to an interest only mortgage, or extend their mortgage term, for up to 6 months, after which they can switch back without a new affordability check or it affecting their credit score. The Financial Conduct Authority regularly publish data on uptake of the Mortgage Charter.
The Mortgage Charter is in addition to Financial Conduct Authority rules which provide significant protections for all borrowers, including ensuring all customers are treated fairly. Any borrower who is concerned about making their repayment should contact their lender. Seeking support and engaging with lenders to discuss options will not affect a borrower’s credit score in any way, and earlier engagement will mean that lenders can offer more support.
More broadly, the market remains open, resilient and competitive. Prospective first-time buyers may find it useful to speak to a broker in order to find the best possible product available for their circumstances.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department’s press release entitled Chancellor gets banks to step up mortgage support for customers, published on 26 March 2026, what assessment she has made of the risk that lenders will tighten lending criteria in response to the measures to allow consumers to move to interest only payments for six months.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
On 26 March 2026, the Chancellor met with the six largest mortgage lenders (Lloyds Banking Group, NatWest Group, Barclays UK, HSBC UK, Santander UK, and Nationwide Building Society), alongside UK Finance, to discuss the outlook for mortgage rates in light of the conflict in Iran, how lenders are responding, and what practical support is available to concerned borrowers. At this meeting, these lenders committed to proactively contact 1.6 million customers whose fixed-rate deals end between now and the end of the year, setting out options well before payments change.
Lenders across the industry also reaffirmed their commitment to the Mortgage Charter. The Mortgage Charter is a voluntary agreement that covers 90% of the sector, and provides flexibilities to help borrowers manage their repayments over a short period. This includes it permitting borrowers to switch to an interest only mortgage, or extend their mortgage term, for up to 6 months, after which they can switch back without a new affordability check or it affecting their credit score. The Financial Conduct Authority regularly publish data on uptake of the Mortgage Charter.
The Mortgage Charter is in addition to Financial Conduct Authority rules which provide significant protections for all borrowers, including ensuring all customers are treated fairly. Any borrower who is concerned about making their repayment should contact their lender. Seeking support and engaging with lenders to discuss options will not affect a borrower’s credit score in any way, and earlier engagement will mean that lenders can offer more support.
More broadly, the market remains open, resilient and competitive. Prospective first-time buyers may find it useful to speak to a broker in order to find the best possible product available for their circumstances.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department’s press release entitled Chancellor gets banks to step up mortgage support for customers, published on 26 March 2026, whether any of the lenders present at the meeting referenced in the press release disagreed with the proposed measures.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
On 26 March 2026, the Chancellor met with the six largest mortgage lenders (Lloyds Banking Group, NatWest Group, Barclays UK, HSBC UK, Santander UK, and Nationwide Building Society), alongside UK Finance, to discuss the outlook for mortgage rates in light of the conflict in Iran, how lenders are responding, and what practical support is available to concerned borrowers. At this meeting, these lenders committed to proactively contact 1.6 million customers whose fixed-rate deals end between now and the end of the year, setting out options well before payments change.
Lenders across the industry also reaffirmed their commitment to the Mortgage Charter. The Mortgage Charter is a voluntary agreement that covers 90% of the sector, and provides flexibilities to help borrowers manage their repayments over a short period. This includes it permitting borrowers to switch to an interest only mortgage, or extend their mortgage term, for up to 6 months, after which they can switch back without a new affordability check or it affecting their credit score. The Financial Conduct Authority regularly publish data on uptake of the Mortgage Charter.
The Mortgage Charter is in addition to Financial Conduct Authority rules which provide significant protections for all borrowers, including ensuring all customers are treated fairly. Any borrower who is concerned about making their repayment should contact their lender. Seeking support and engaging with lenders to discuss options will not affect a borrower’s credit score in any way, and earlier engagement will mean that lenders can offer more support.
More broadly, the market remains open, resilient and competitive. Prospective first-time buyers may find it useful to speak to a broker in order to find the best possible product available for their circumstances.