Branch closure slammed
Kiwibank’s decision to close its Stoke branch is ‘‘incredibly detrimental’’ for the people of the growing suburb, says Nelson Mayor Rachel Reese.
Stoke was the fastest-growing suburb of Nelson, projected to be home to three-quarters of its population growth and half its new housing over the next 30 years, she said.
‘‘This move is incredibly detrimental for the people of Stoke, and it is highly concerning that there has been a clear failure to engage with council and the community over this decision.’’
Reese’s comments came after Kiwibank announced that: ‘‘In response to increasing numbers of customers accessing banking services in different ways, Kiwibank has decided to withdraw services from the Stoke NZ Post and Kiwibank branch.’’
Kiwibank is a subsidiary of state-owned enterprise New Zealand Post, the NZ Super Fund, known as the Cullen Fund, and the Accident Compensation Corporation.
Kiwibank retail distribution general manager Geoff Waller said Stoke customers would be able to access banking services from the Nelson branch.
However, Grey Power Nelson president Christine Tuffnell said it was a ‘‘major exercise getting into town’’ for many older people, as was travelling between central city businesses and returning home. The area around the Kiwibank branch in Putaitai St, next to the Grey Power office, with supermarkets and a library nearby, was ‘‘their town’’.
‘‘It’s going to be a major blow,’’ Tuffnell said.
She said more than 40 per cent of Grey Power Nelson’s 7000 members lived in Stoke, which had a high proportion of older people who were more dependent on face-to-face banking services. Of the Grey Power members, 51 per cent still used cheques, and half were aged over 75.
Tuffnell said she did not understand why the Stoke branch was closing, and queried whether it was about the ‘‘pursuit of e-commerce’’. She challenged Kiwibank management to attend a Grey Power meeting and explain the business case behind the closure.
Shareholding ministers Grant Robertson (finance) and Winston Peters (state-owned enterprises) as well as Associate State-Owned Enterprises Minister Shane Jones would also be ‘‘most welcome’’, she said.
Jones said it would ‘‘come down to logistics’’ as to whether he could attend such a meeting.
With regard to Kiwibank, he said: ‘‘Unfortunately, I’m not in control of them, so I don’t have the ability to tell them what to do, but every time we do lose an essential service in the . . . provinces, it fulfils our worst fears that the provinces are slowly but surely going see diminished services.
‘‘I’ve already made contact with Minister Grant Robertson’s
staff, and they’re well aware of how hot under the collar I am about this.’’
There were some huge questions to be answered, Jones said. ‘‘Do we have the relationship between Kiwibank and the Government appropriately structured?’’
ACC and the Cullen Fund were ‘‘motivated to operate in an entirely commercial fashion’’, he said, adding that he had some ‘‘dim views about the decisionmaking of the Cullen Fund’’.
‘‘I feel, and I’ve felt for a long time, as we pour money down the throat of the Cullen Fund, they should show a greater level of respect for the taxpayers and invest more of that money in our own country.’’
In response to comments by Nelson MP Dr Nick Smith, who said it was hypocritical for Jones ‘‘to be damning privately owned banks for closing branches while the Government’s own bank does the same’’, Jones hit back.
‘‘I’ve got Nick Smith criticising me for not doing enough,’’ he said. ‘‘When I come out, none of them [National Party MPs] stand up against the Aussie-owned banks, but because it’s a government-owned bank, they feel empowered to boot it in the balls. They were missing in action, probably because they don’t want to attack their old leader, John Key, who is the ultimate power of the ANZ Bank in New Zealand.’’
It was disappointing there wasn’t cross-party commitment to securing ‘‘decent services’’ in provincial New Zealand, Jones said.
Reese said she supported Grey Power’s move to discuss the closure directly with Kiwibank, and hoped the bank would reconsider its position.
‘‘There has been a clear failure to engage with council and the community over this decision.’’
Nelson Mayor Rachel Reese