The importance of Post Offices in the UK has increased significantly over the years, particularly as local bank branches close down, forcing more people to use Post Offices for their financial transactions. In the month of April, the total business and personal deposits and withdrawals in Post Offices amounted to £3.05bn, according to recent figures.
However, the total business deposit of £1.06bn was down 8% compared to the previous month, which may be attributed to the April bank holidays. Despite this, the Coronation Bank holiday weekend alone saw £70.73m withdrawn in cash. Overall, there was a 1.3% year-on-year increase in combined cash withdrawals and deposits for businesses and personal customers.
In the last six years, a startling 5,605 branches of banks and building societies have closed or planned to close in the UK, averaging approximately 54 branches per month. Yet, the Post Office continues to build partnerships with more than 30 banks, building societies, and credit unions, enabling 99% of UK bank customers to access their accounts at any Post Office branch across the country.
As far as cash deposit transactions are concerned, statistics reveal that there were almost 5.2 million cash deposit transactions at post offices in April 2023, which is up 6% year on year. In comparison, there were 4.86 million cash deposit transactions during the same month the previous year.
Martin Kearsley, Post Office banking director, said, “The withdrawals we saw over the bank holiday show just how many still use cash as their primary payment method, especially during local community celebrations where a post office might be the only way to access cash in town after the banks have closed.”
Overall, these figures demonstrate the vital role Post Offices play in communities across the UK.
