Issued by: HM Treasury

An independent review will look at how shifts in face-to-face banking services affect people and communities, with new powers enabling the Government to act on what it finds.

• Lucy Rigby, Economic Secretary to the Treasury, has commissioned independent review to protect access to face to face banking across the UK.

• Review to be led by Richard Lloyd, former Which? director and former board member of the FCA.

• Findings will inform new powers for Government to act where access to banking is at risk.

The Government is taking action to ensure people and communities across the UK can continue to access the banking services they need by commissioning an independent review alongside delivering new powers to act on the findings.

The way people across the UK use retail banking services has changed significantly, with many customers now choosing to bank online. In response, banks and building societies have reshaped their branch networks, reflecting changing customer preferences - but this may be creating challenges for those who rely on in-person banking services.

The review will gather evidence on the real‑world impact of branch closures, identify who is most affected, and assess where further action may be needed to protect access to banking services.

The Review follows the announcement of the Financial Services and Markets Bill in the King’s Speech, where the Treasury intends to include a power to be able to act swiftly if the evidence supports intervention on access to banking services.

Lucy Rigby, Economic Secretary to the Treasury, said:

"Banking services are a really important part of lives and communities, and it’s critical we can all access what we need – whether through local banking services or strong community-based alternatives like credit unions.

"We are supporting industry’s roll out of banking hubs , but we also need a clear picture of where communities are still losing out. This independent Review will show us where the problems are and what further action may be required – and we will move quickly to legislate where the evidence shows it is needed."

The Access to Banking Review will be chaired by Richard Lloyd OBE, who will provide a report and recommendations to Government by October 2026. He brings strong regulatory and consumer experience, having served as a non-executive director (and interim Chair) of the Financial Conduct Authority and as Executive Director of Which?

The Bill will also take forward some of the credit union common bond reforms announced in March, making it easier for credit unions in Great Britain to expand and broaden their membership.

The changes will see more people access affordable credit and a safe place to save The move will strengthen community-based financial services, delivering on the manifesto pledge to grow the mutuals sector.

He also contributed to the Access to Cash Review, which set out practical recommendations to make sure people can still withdraw and deposit cash locally. The findings of the review helped inform later changes in law and regulation, including new FCA powers and encouraged industry solutions such as banking hubs. Richard is currently the Chair of the Independent Parliamentary Standards Authority (IPSA).

Richard Lloyd OBE, Chair of Access to Banking review, said:

"Banking is an essential service that every consumer and community in the UK needs. That’s why it’s so important to take stock of the impact that the big shift to digital services has already had, and to understand the need for access to in-person banking in the future. I hope to hear from as wide a range of views as possible, and welcome the Treasury’s commitment to taking action should this independent review find evidence that new legislation is needed."

Gareth Oakley, Chief Executive Officer, Cash Access UK said:

"While cash usage continues to decline as digital payments expand, we’ve seen first-hand how important local access to cash and face-to-face banking is for many households and businesses. Our job is to deliver solutions where these are needed and to date we’ve opened 237 banking hubs and over 140 deposit services.

"There’s more work to be done, but the good news is that 95 percent of customer needs are met when visiting a banking hub and nearly 9 in 10 customers would recommend Hub services to family and friends.

"We look forward to contributing towards the review and working with Government."

Sarah Harrison, Chief Executive, Building Societies Association (BSA)

"Building societies and credit unions are rooted in local communities and provide more than 1 in 3 high street branches.

"As customer needs change, building societies are continuing to meet these both by investing in digital channels as well as innovating in high street branches and the use of community spaces - so it’s the customer’s choice of how and when to engage. We welcome the Government’s Access to Banking Review and look forward to contributing.

"The proposed credit union reforms are an important step in helping more people to access fair, straightforward financial services, essential at a time when household finances are under real pressure. Access to affordable borrowing and a safe place."

Matt Bland, Chief Executive, All Together Money – The credit union movement, said:

"We’re delighted to see credit union common bond reform confirmed in the King’s Speech. This is a significant step forward for the sector in delivering our Credit Union Sector Growth Plan. The proposed changes will remove barriers to growth and provide credit unions with greater flexibility to reach many more people with affordable financial services alongside the major Fair4All Finance investment in credit union transformation committed to in the Financial Inclusion Strategy."

Notes to editors:

Banking hubs

• Access to cash is already protected by regulation, with voluntary solutions like banking hubs being put in place. The Government has a manifesto commitment to work with industry to deliver 350 banking hubs by the end of this Parliament. Delivery is well underway, with over 275 hubs announced, and more than 230 already open. But there are no equivalent protections for wider in-person banking services.

• Banking hubs are a voluntary industry initiative from the largest UK high street banks which provide ‘assisted cash services’ in shared premises. They were developed by the industry as a way to comply with their obligations under the FCA’s access to cash regime.

• Hubs offer cash counter services provided by Post Office staff, allowing the vast majority of UK banking customers to withdraw and deposit cash. Beyond cash services, banking hubs also provide some wider in-person banking services to customers of banks, voluntarily.

Building societies

• Building societies are customer-owned businesses which reinvest their profits for the benefits of their members and communities. They all provide mortgages and savings and a number also provide current accounts.

• With all of their headquarters outside London, building societies operate through approximately 1,300 branches, holding a 35% share of branches across the UK.

Credit unions

• Credit unions are financial co-operatives that receive savings deposits from their members and provide loans to members using these funds, with the interest paid contributing to the provision of their services.

• Credit unions must have a ‘common bond’ – a defined connection between members, such as living or working in a particular area, or sharing a workplace or profession.

Financial Services and Markets Bill

This Bill was announced in the King’s Speech on the 13 May.

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