The use of cash machines in the UK has risen for the second year in a row according to new data from Nationwide.

Around 31.4 million cash withdrawals were made from the building society’s network of ATMs, a four per cent increase compared to 2022.

The average amount withdrawn was £105, an increase of one per cent compared to 2022. Compared to 2019, the value of cash withdrawals has increased by 28 per cent.

Nationwide attributed the rise in cash withdrawals to people using physical money to manage budgets in response to the cost-of-living crisis.

The company added that ATM usage had risen most where Nationwide was the only bank branch available. Nationwide has the highest number of branches on the UK High Street and has pledged to keep all its branches open until 2026.

Twickenham in London saw the biggest rise in cash withdrawals across the UK as a result of becoming the last branch in the area, where the number of transactions increased by 154 percent. Redruth in Cornwall also saw a significant uptick in withdrawals after it became the only ATM in the town, rising by 144 per cent.

Nationwide said that because of the rise in multi-use ATMs, cash withdrawals are only part of the picture. Around 45 per cent of all transactions at its ATMs over the period were used for other services, such as printing mini statements, paying bills, and changing PIN numbers.

“ATMs play a vital role in society, enabling people to easily access and manage their money flow,” said Otto Benz, director of payments at Nationwide. “We now have the largest branch network in the UK, which allows us to support customers who want access to cash, whether from our ATMs or over the counter.

“ATMs do more than just dispense cash - nearly half of transactions are from people paying money in, checking their balance or paying a household bill. This goes to show this is far from the end for cash and we will continue to offer our customers the ability to access their money on their terms whether that be digitally or in branch.”

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