Nationwide reports rise in cash usage for the third year in a row as Brits continue to value money in their pockets

Nationwide recorded around 32.8 million cash withdrawals from the 1260 ATMs at its 605 branches last year – a 10per cent increase on 2023 (31.36 m). The average amount of cash taken out on each withdrawal from Nationwide ATMs was £112 last year, 2.73m per month. Nearly half of transactions also included mini-statements or paying bills.

Nationwide reports  that the busiest time of the year for cash withdrawals was the week before Christmas (w/c 16 December) where £97.9m (up 1.8%on last year) was withdrawn – this is the highest amount dispensed in a week since pre-Covid.

The week leading up to Black Friday (w/c 25 November) saw £85.3m withdrawn – a 12 per cent year on year increase and the second highest weekly dispense since pre-Covid.

Clearly, these significant levels of cash withdrawals coincide with periods when people are intent upon spending , meaning that more cash is in circulation. So ensuring the cash is validated, counted and stored securely is of paramount importance, as Loomis is always keen to highlight!

Prior to 2022, the number of cash withdrawals at Nationwide had been steadily declining from its 2014 peak. This fall was most pronounced when the pandemic struck, when withdrawals dropped by more than 40 per cent in a year (26.4m in 2020 v 44.5m in 2019).

ATM usage has also risen due to bank branch closures, which has seen vital free services being removed from high streets up and down the country.  This has led to a 16 per cent increase in withdrawals from non-Nationwide customers and a four per cent increase from Nationwide customers looking to access cash, as unlike the major banks, it hasn’t closed significant numbers of branches in recent years.

Interestingly, the biggest increase in cash withdrawals were recorded in Chiswick, West London (up 140%), Shotton, Flintshire (up 115%) and Fakenham, Norfolk (up 96%). However, many areas where Nationwide is now the last branch in town have also seen sizable increases, including Henley-on-Thames, Oxfordshire (95%), Cupar, Fife (66%) and Bromborough, Merseyside (61%).

Otto Benz, Director of Payments at Nationwide Building Society, has commented : “The rising cost of living continues to impact people and many are opting to budget with physical money to avoid getting into debt. The resurgence of cash shows why Nationwide needs to continue having a physical presence on the high street, enabling customers to access their money on their terms, whether digitally or in branch.”

And for businesses on the receiving end of the additional cash circulating in society, it’s vital to ensure safe, secure and effective cash management. Loomis offers a comprehensive range of automated cash and cash in transit solutions; you can see the range of smart safe options here

Source: https://www.nationwidemediacentre.co.uk/news/cash-usage-rises-for-third-year-as-brits-continue-to-value-money-in-their-pockets