‘Alarming’ proposals for bank machines

A PLANNED shake-up of the ATM network could leave people facing an uphill struggle to access cash, consumer campaigners have warned.

Cash machine network Link has confirmed it will go ahead with proposals to cut the fees operators receive from banks when ATMs are used. But some in the industry warned thousands of free cash machines could be at risk of being removed or changed to fee-charging, with the possibility of “cash deserts” being created across the UK.

Link said there would be a phased reduction in the interchange fee – the fee card issuers pay ATM operators – starting from July 1. The position will then be reviewed annually, taking into account the impact on consumers, with a 20% reduction in interchange fees eventually anticipated after four years.

Link said the impact was expected to be “a modest decline in the number of ATMs in areas where they are heavily concentrated but with no diminution in the overall geographical coverage”.

But Gareth Shaw, a money expert at Which?, said the consumer group was concerned about Link’s ability to maintain free access to cash and said the plans were ‘alarming’.

He added: “Link’s plans could still lead to a significant reduction in free-to-use ATMs across Britain, leaving consumers facing an uphill struggle to access the cash they need.”