The UK’s Post Office has signed a five-year deal to continue its operation of the country’s 200 banking hubs, partnering with PO branch owners.
The initiative aims to safeguard access to cash in areas that struggle due to bank branch closures and limited access to banking solutions. PO Banking Hubs are operated in partnership with a local PO branch owner and funded by Cash Access UK, a non-profit supported by high-street banks.
Banking hubs for financial inclusion
PO believes that there is the possibility for more Banking Hubs to be opened and operated by its postmasters, who already deliver access to cash to customers daily in their post office branches. These hubs would not be possible without the PO’s role in creating and operating them, with postmasters being crucial to their local communities, making them the natural partners to operate Banking Hubs due to their expertise in offering face-to-face banking solutions.
The start of the deal comes as PO made an agreement with 30 of the UK’s largest banks, known as Banking Framework 4, to secure higher remuneration rates for PO branch owners, in return for improved customer service to their clients.
The last we heard of the PO was when it chose Western Union to be its sole provider of international money transfer services at its branches and offer its money transfer solutions to more locations across the UK. This strengthens the commercial offer for postmasters and partners, supporting better footfall and service opportunities for branches.
The PO will continue to focus on meeting the needs, preferences, and demands of clients in an ever-evolving market, while prioritising the process of remaining compliant with the regulatory requirements and laws of the industry as well.
