The Post Office has said that cash transactions across its branches have returned to their highest level since September 2022.

The British company said that in March, over the counter cash deposits and withdrawals amounted to £3.29 billion across its 11,500 branches. During the month, there were nearly 5.7 million cash deposit transactions recorded – an increase of 10 per cent compared to February and 11 per cent year-on-year.

Apart from December, where cash withdrawals are usually at their highest over the Christmas period, September was the previous high with £3.35 billion transactions made at The Post Office's branches.

The Post Office said that the hike in deposits was likely driven by banks shutting their doors across the UK.

The company says it will be operating more banking hubs over the year to address the growing number of banks branch closures.

“Postmasters rightly tell us that the bank branch closures mean they are the only location where consumers and businesses can do their banking, which is why we’re increasing banking deposit remuneration by 20 per cent," said Martin Kearsley, Post Office banking director.

NatWest and Lloyds Banking Group recently announced plans to shut a further 81 banks between them.

Lloyds will close 39 sites – including 26 Lloyds Bank, nine Halifax, and four Bank of Scotland branches later on this year, while NatWest will shut 42 branches.

Share Story: