Savers’ fury over Barclays threat to Post Office cash
FURIOUS customers last night savaged Barclays for axeing cash withdrawals at post offices.
Around 15million transactions were carried out last year – 41,000 a day – yet the bank is to end the vital service from January.
This will leave its customers with longer journeys to access their savings at fast-disappearing cash machines and high street branches.
The Mail has been inundated with letters and emails from customers threatening to desert Barclays.
And an online petition calling for the decision to be reversed has attracted 4,000 signatures.
MPs told Barclays boss Jes Staley to perform a ‘rapid U-turn’ yesterday.
Anger at the move has been amplified by the bank’s programme of closures. Bosses have shut 481 branches since 2015, leaving many communities reliant on post offices.
Barclays will reportedly save £7million a year from the decision. This compares with a £3.5billion profit last year and the £7.2million Mr Staley has been paid in the past two years.
Wendy Dale, 65, a Barclays customer of 40 years from Broome, Worcestershire, said: ‘I’m incensed. Barclays are being arrogant and contemptuous of their customers. They must reverse their decision or I will move bank.’
Rachel Reeves, the Labour chairman of the Commons business committee, said: ‘The outcry which has followed this inexcusable decision should jolt Barclays into performing a rapid U-turn.’
Peter Hall of the National Federation of Sub-Postmasters said Barclays had claimed customers would not be inconvenienced – and this was ‘deliberately misleading or desperately misguided’.
He added: ‘In a great many cases, there simply will be no alternative solution for these customers. It is not too late to reverse it before they see an exodus of customers.’
Barclays customers will still be able to deposit cheques and cash and check their balances at post offices but they will no longer be able to withdraw money using their debit card. Currently they can take out up to £300 a day over the counter.
Responding to criticism of its plan, the bank has said it would ring-fence 100 rural branches and join up with 200 local retailers to provide a cashback service.
But James Lowman of the Association of Convenience Stores, which represents more than 33,000 local shops, said: ‘Retailers should not be expected to have to take on additional services because banks don’t want to benefit their customers by providing a cash machine or withdrawal service at the post office.’
The withdrawal ban is expected to affect tens of thousands of Barclays customers in remote areas even though, ‘subject to arrangement’, they will still be able to withdraw cash by cheque.
The contract between the Post Office and banks lasts until 2022. It provides vital income for postmasters, who receive commission for each banking service.
A Barclays spokesman said: ‘None of our customers will be without access to cash. Our financial contribution to the Post Office for the banking framework will actually increase in 2020.’