LINK welcomed the outcome of the cash machine roundtable hosted by Treasury Minister Ivan Lewis this morning.
The roundtable heard evidence from LINK that there are now more free cash machines than ever before, as well as on the tighter rules that LINK introduced in 2005 requiring advance warnings of charges at cash machines that levy fees, on the strong measures taken to enforce these rules (including fines and ultimately disconnection for any LINK Members that don't comply), and on the lessons learnt in the course of taking these positive steps.
There was recognition from all parties of the importance of ensuring the continued growth of the number of free cash machines, and that the increase in the number of charging cash machines in places where there was previously no cash machine at all (a positive development in terms of consumer choice) did not mean that free machines were disappearing.
LINK and its Members made clear their desire to work with consumer groups and government to consider how access to free-of-charge cash withdrawals can be further improved in deprived areas in particular, and looks forward to further discussion of that in the Working Group to be established following the roundtable.
The industry also repeated its request for consumer input into its plans further to develop its rules and policies on transparency of charging in the light of the evidence collected and experience gained, and welcomed the agreement that all parties should begin working together on these next steps.
Edwin Latter, ATM Scheme Director said "We welcome the beginning of this constructive debate, with all parties working to help the initiatives being developed and implemented by the industry further to widen access to free-of-charge cash withdrawals, and to ensure full and effective transparency in cases where charges are applied."
On access to cash, the roundtable heard evidence on the overall increase in the number of free machines, including in deprived areas, and the desire from all parties to investigate how any black spots in terms of free cash access could be dealt with by banks, cash machine operators, the Post Office, landlords, the public sector and local government working together.
On transparency, there was recognition that the evidence points towards developing clearer and more standardised warnings on the screens of surcharging machines, rather than additional investment in stickers on the outside of machines. The roundtable also noted concern that imposing extra labelling costs on the operators of free machines, who did not need regulation to encourage them to advertise their machines, could be counterproductive in terms of encouraging more cash machines in deprived areas.
-Ends-
Notes
There are 58,000 cash machines in the UK (just under 25,000 charging and just over 33,000 free machines). Although over 40% of cash machines are charging, under 4% of withdrawals are made at charging machines.
LINK is the Network that connects all free and surcharging cash machines, and maintains and enforces the rules (for example on transparency of charges) that cash machine operators must adhere to as a condition of being a part of that Network.
Press Enquiries:
Edwin Latter
ATM Scheme Director
LINK Interchange Network Ltd
Mobile: 07974 326 389
elatter@link.co.uk
Graham Mott
Head of Development (Schemes)
LINK Interchange Network Ltd
Mobile: 07974 326 374
gmott@link.co.uk
John Pinniger
Primeword Communications
Tel: 020 7738 6000
Mobile: 07050 052 934
johnpinniger@primeword.com
