Over the last decade, Liskeard’s high street has seen a dramatic decline in banking services. What was once home to five banks and a Crown Post Office now has just one remaining bank, with the post office also facing the threat of closure. This week, reports emerged that Santander is considering closing all of its high street branches in Britain. While it’s true that banking is changing, not everything can be done online — and the consequences of these closures are being deeply felt by communities like ours.

The rise of “banking deserts,” areas with no access to physical branches, has had a profound impact on towns across South East Cornwall. High streets suffer as fewer people visit town centres, while local businesses and residents are left struggling to access essential financial services.

While banking hubs have been introduced in some areas as a solution, government funding for these services is capped, meaning not every affected community benefits. Organisations like the Federation of Small Businesses (FSB) have repeatedly raised the alarm over the damaging effects of bank closures. For small businesses, face-to-face interactions with bank staff provide vital reassurance and support for financial decision-making.

A 2016 FSB report highlighted that the closure of bank branches forces business owners to travel longer distances, wasting time and reducing productivity. Additionally, cash flow management has become more difficult. Despite the push towards a cashless society, cash remains a cornerstone of the local economy here in Liskeard, with four in ten small businesses on the high street reporting it as the primary payment method in 2022. Six in ten businesses still need to deposit cash regularly, underscoring the importance of accessible banking services.

The impact of these closures goes beyond businesses. A 2023 survey by the consumer group Which? revealed that 52 per cent of people with disabilities reported negative experiences following the closure of local branches. The challenges they face include difficulties accessing alternative services, navigating complex online security systems, and dealing with inadequate phone support. Problems like poor mobile signals and accessibility issues, such as a lack of wheelchair access or hearing loops, further compound the issue.

Older people are also disproportionately affected. Age UK reported in 2023 that nearly 40 per cent of over-65s do not manage their finances online, putting millions at risk of financial exclusion. For many, the ability to perform simple banking tasks in person is essential. A staggering 75 per cent of respondents said they wanted to continue using a branch, building society, or post office for at least one banking task.

The closure of banks and post offices isn’t just an inconvenience — it threatens to cut off vulnerable members of our community, weaken our high streets, and harm small businesses. As a councillor for Liskeard, I will continue to advocate for greater investment in accessible financial services. Banking hubs should be expanded and adequately funded to ensure no community is left behind.

Change is inevitable, but it must be managed in a way that protects those who need these services most.

Nick Craker

Conservative councillor for Liskeard