UK Building Society launches strategy to ‘keep cash alive’
Newcastle Building Society has partnered with branch innovator OneBanx to launch a new initiative to keep cash alive for small businesses and individual customers.
The solution involves giving small businesses and private customers access to a multi-bank kiosk in two of the branches in the North East and North Yorkshire as part of a ground-breaking pilot scheme. The core goal, says an official statement about the new project, is “to keep cash alive and streets alive in communities.”
Protecting the use of cash for communities
In recent times, the use of cash has decreased considerably – especially during the pandemic years 2020 to 2022. The reduction in cash use has affected a number of important demographics, including individual customers and small businesses that depend on the specific currency.
According to reports, the new solution has also been supported by global leaders in cash automation GLORY. OneBanx developed the kiosk to support communities without access to daily banking services.
The news also comes after it was revealed that 15 bank branches are set to close in the North Yorkshire area alone, leaving customers who rely on branch services and cash without adequate services. The branches to close include HSBC, Natwest, Santander UK and Barclays – which have also chosen to close a further 15 branches across UK locations in 2023.
The kiosks use Open Banking technology to enable small business and retail customers of any bank in the Open Banking network to withdraw and deposit cash from their accounts, and are the first to be located in the branch of a financial services provider anywhere preferably in the world.
Easy access to cash and accounts without a street branch
As part of the pilot, users of the kiosk will be able to insert notes and coins, and withdraw cash from their bank accounts. Personal and small business customers of any bank on the Open Banking network will be able to access their UK account, provided they have online banking access and have signed up for the OneBanx service.
Speaking about the new project, Andrew Haigh, chief executive of Newcastle Building Society, said: “Since January 2015, banks have announced the closure of more than 5,000 branches across the UK, but Newcastle Building Society remains absolutely committed to providing accessible face to – meeting financial services in our local communities.
“Our plan for a cost-effective branch model, combining community, technology and partnership, is an approach that has been forged in the North East – but could potentially be applied to any high street.”
He continued: “Cash is an important part of daily life for millions of people and businesses and every bank branch closure leaves a damaging legacy in our communities. The kiosk gives people easy access to their bank and by providing access to technology like this in our innovative branch model, we show exactly what can be achieved when we put the interests of our members and customers above all else.”
Duncan Cockburn, CEO of OneBanx, added: “This exciting partnership with Newcastle Building Society shows how OneBanx can work with building societies to provide a solution that meets the needs of communities up and down the country to maintain access to cash and basic banking services . We look forward to further announcements in the near future as we bring our flexible, cost-effective shared banking solution to many more high streets, shopping centers and other convenient locations.”
