Cash makes a comeback as people return to the pub and workplace
Encouraging signs of a return to cash use by people and businesses were seen in August as people ventured out to pubs and back to work, according to the Post Office.
Business customers deposited £831 million, up by 3.1 per cent compared with July, which the Post Office said underlined the extent to which small firms and independent retailers still relied on cash to operate. Back in April, when stricter coronavirus lockdown measures were in place generally across the UK, £313m was deposited by business customers. The data is taken from the Post Office cash tracker, showing the flow of cash through its 11,500 branch locations. Meanwhile, £945m was deposited in cash by personal customers at Post Office counters – a 16.3 per cent rise compared with the same month a year earlier.
The Post Office said this reflected people depositing cash built up during the lockdown period, at a time when many banks have been operating reduced opening hours.
The report said that everyday banking services in the Post Office normally tended to be used less in August. But it said the high deposit levels in August indicated a continued reliance on cash.
Nick Read, chief executive at the Post Office, said: “Our data shows that businesses and customers continue to rely on their local Post Office as the destination where they can deposit their cash.
“Our network of branches in seaside towns, rural locations and close proximity to popular tourist sites has meant that independent businesses have had a convenient location to drop off their day’s takings.”
Martin K ears ley, director of banking at the Post Office, said :“There are definitely encouraging signs of a return to the use of cash.”