The recent closure of bank branches around the country has already raised heads, but with the removal of 718 bank-owned Automatic Teller Machines (ATMs), will cash be the next victim in the bank exodus?

The push towards a cashless society is seemingly underway, and while not necessarily government led, the removal of hundreds of ATMs could force the hand of our region's citizens towards a growing trend. 

According to data from the Australian government, the use of cash fell to 17 per cent in 2022

In the recent Strategic Plan for Australia’s Payments System, the Treasury outlined that maintaining access to cash is important, particularly in times of crisis. 

“While consumers’ preference for everyday payments is trending towards digital, it is important that the payments system continues to include, and be accessible to, all Australians,” the Strategic Plan outlined.

With a decline of over 700 ATMs in the last 12 months however, critics fear that access is fading away. 

Local councils, business groups and community clubs have all spoken out about the link between cash access and keeping regional towns vibrant.

They cite its importance for community events, keeping small transactions affordable and reducing disadvantage.

"The cash system is essential national economic infrastructure that is now being dismantled and replaced by privately owned payment systems charging fees to users,” said Jason Bryce, spokesperson for the Cash Welcome campaign. 

“Australians don't want to lose access to cash or their right to choose cash to pay for essential goods and services."

According to the Reserve Bank of Australia, while independently owned ATMs are still high in numbers, the fee charged to use them creates another barrier to cash access. 

A concentration of branch and ATM closures in regional areas has created another issue unique to regional residents. 

“...some non-metropolitan communities are increasingly at risk of a further significant increase in distance to the nearest cash access point,” a bulletin from the RBA explained.

Alongside the 718 bank-owned ATMS that were closed, 424 bank branches were closed over the last year. 

The inquiry into bank branch closures by the senate's Rural and Regional Affairs Committee is ongoing. 

Last week, the committee agreed to reopen submissions to the inquiry until 29 February 2024.