A new community banking hub for Tavistock is being backed by councillors and those supporting people disadvantaged by the further reduction in high street bank services.
The town is due to lose its second high-street bank in a little over a year as Barclays confirmed it is shutting up shop on September 23, following HSBC pulling out. Both say banking needs have changed with customer numbers using the branches dropping dramatically.
To mitigate the shortfall, an alternative community banking hub (or scaled down bank) based on a national pilot model, is suggested by Tavistock Town Council to be in the pannier market.
The hub could provide the following basic banking services; cash and cheque deposits, bill payment, withdrawals, account checking and change-giving for businesses.
Community organisations fear people without online access will lose independence and face further isolation, while the economy of Tavistock might lose out if personal services are lost.
Orla Turner, of West Devon Community and Voluntary Services (working with Tavistock Health & Wellbeing Partnership for the voluntary and community sector), said: ‘We’re concerned about the the rise in financial hardship and debt facing our communities. In the absence of a range of banking services in Tavistock we would welcome a community banking hub accessing face-to-face services.’
Orla, a development worker, added: ‘We work with Wisemoney Transitions Project supporting people struggling with debt. Many cannot access digital or phone banking due to cost, lack of knowledge or anxiety.’
Ursula Mann, Ciitzens Advice Bureau (CAB) worker and Tavistock town councillor, said: ‘This sounds potentally welcome. We certainly do need something which supports people who are cut off from digital services that most of us take for granted.’
Similar hubs organised by the Banking Hub company, backed by banks, Post Office, Federation of Small Businesses and Age UK, are successful. Hubs can serve customers of multiple banks.
The Bank Hub network is working with councils and local community organisations across the country where banking services are not supporting needs. However, they do not replicate the services of a high street bank.
Tavistock Town Council budget and policy committee discussed the idea this week with a view to the provision of a cash and banking hub being in the council’s strategic plan. The council continues to work with Barclays to explore future help for customers.