Cash transactions at post offices have returned to their highest level since last September, according to new Post Office figures.
The data shows cash deposits and withdrawals over the counter amounted to £3.29bn at its 11,500 branches in March.
Post Office attributes March’s increase in cash deposits to increased footfall as a result of continued bank branch closures, despite the imposition of cash deposit limits.
The Post Office data also reveals:
- Personal cash withdrawals in March totalled £805m, up almost 15% month-on-month.
- Business cash deposits totalled £1.15bn in March, an increase of more than 16% month-on-month.
- Personal cash deposits totalled £1.3bn in March, up 6.7% month-on-month, but down 0.5% year-on-year after the banks imposed limits on their customers.
- There were almost 5.7 million cash deposit transactions at post offices in March, an increase of more than 10% month-on-month and over 11% year-on-year.
Martin Kearsley, Post Office Banking Director, said: “It’s encouraging to see such a significant amount of cash handled by our postmasters last month despite ongoing cost-of-living challenges, new deposit limits, and continued tough retail conditions on the high street. Postmasters rightly tell us that the bank branch closures mean they are the only location where consumers and businesses can do their banking, which is why we’re increasing banking deposit remuneration by 20%.
“We’re looking forward to operating many more Bank Hubs over the course of this year, as the rollout gathers pace, and supporting communities that have seen their local bank branch close.
“Naturally when it’s announced that the last bank branch is closing in a town it creates much concern amongst residents and businesses. Our area managers are supporting postmasters to reassure the community that everyday banking can be done at a post office with dedicated marketing materials or with stands at the closing branch.”
