Bank branch and ATM closures: other ways to manage your money

Thousands of branches have been closed over the last few years, with dozens more closures confirmed this week. But there are other options if you want to manage your money in a hands-on way.

Bank branch closures have become a common subject in the last few years.

If you like to bank in person, it’s starting to get much more difficult, as bank and building societies increasingly choose to shut down their branches and instead focus more of their services online.

As a result, every month we seem to hear more announcements of branches being shut down.

In fact, there are a staggering nine different banks that have already confirmed plans to close some of their branches in 2024.

TSB is the latest to do so, confirming it is set to shut 36 branches – one sixth of its entire network – over the course of this year and next.

Here is a full list of TSB branches earmarked for closure so you can check if your local is affected. 

Local branch closing? Sign up for an account from Starling Bank and manage your finances from your phone

Other bank branch closures planned for 2024

As we say, TSB is merely the latest in a very long list of banks looking to reduce their physical presence across the UK in a bid to cut costs.

As you can see from the table below, Barclays has already confirmed plans to close 90 branches in 2024, while Lloyds (76), Natwest (68) and Halifax (64) have all confirmed dramatic reductions to their network.

The table below highlights the confirmed bank closures so far for 2024.

Source: Which?

Access to cash

One of the big downsides that come from bank branch closures is that it can make it tricky for people to access their own money.

If the only ATM in your village is operated by the local branch, and it’s being closed, then that can present a challenge.

There may be a rival ATM you can use but which charges you in order to make withdrawals, far from ideal if you’re trying to manage your money properly.

There have been measures to tackle this though, including a new framework published by the Treasury in August which sets out minimum expectations around access to cash.

Essentially the financial regulator has been given new powers to ensure that people should not have to travel any more than three miles in order to be able to make free withdrawals.

An alternative to ATMs

Being able to get hold of your money doesn’t have to mean having a local ATM, of course. 

An alternative comes from the ‘cash at the till’ scheme, operated by the LINK network.

Effectively you can go into a local shop and ask the shopkeeper for cashback.

The money comes from your bank account, and you don’t have to make a purchase to make use of the service. 

You can withdraw any amount from £1 to £50, and crucially you don’t have to limit yourself to just notes ‒ if you need exact change, then you can get that money too.

It’s not a perfect replacement by any stretch, but having a local shop offering this service will at least mean you aren’t so reliant on having a local ATM. 

What about banking hubs?

Another development on this front has been banking hubs, which are effectively shared spaces used by a handful of different banks. 

Each bank basically takes it in turns having staff in hub each day, while there are also counter services run by the Post Office.

There have been eight hubs opened so far in the following locations, with many more set to launch:

Mobile banking

If you can't beat them, join them.

Mobile banking apps have improved over the last few years and many are now easier to use than internet banking on your computer.

Many apps allow you to log in using just your thumbprint instead of using complicated passwords.

Some of these apps have other useful features, such as freezing your debit card or accessing cash if you’ve lost your card, all at the touch of a button.

There is of course one major drawback to relying on mobile banking ‒ if a bank’s systems go down, you could find yourself unable to access your money and may need to go to a branch.

As a result, it can make a lot of sense to set up a backup bank account or at least a credit card so that you still have payment options should things go wrong.

New to mobile banking? You can learn more about how each app works with our series of app reviews.

Use the Post Office instead

If you aren't keen on the app route, then head to your local Post Office.

The majority of personal banking customers and three-quarters of business banking customers can use the Post Office for withdrawing and depositing cash or cheques and to check their bank balance.

It’s free and there’s no need to register, just bring your debit card with you. You can find your local Post Office branch here.

It’s by no means a like-for-like replacement for a local bank branch, so you’ll find some services are more restricted.

For example, to pay in cheques you may need a paying-in slip and deposit envelope from your actual bank (they should give you this for free if asked).

For account queries, changing details or applying for bank accounts, you will need to phone your bank directly or go to a branch.

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*This article contains affiliate links, which means we may receive a commission on any sales of products or services we write about. This article was written completely independently.