Press release -
Personal Cash deposits in November dip only 2% month-on-month – but lockdown in England contributes to 22% fall in business deposits
- Personal cash deposits totalled £966 million in November at Post Offices, down only 2% month-on-month despite national restrictions across England throughout the month
- Post Office branches remained open throughout November which ensured personal deposits remained relatively steady month-on-month
- Business deposits totalled £719 million, a 22% fall on October and lowest amount since June (£492 million) when the UK began exiting the first lockdown. This was a much smaller reduction compared to the first lockdown, reflecting different restrictions and hospitality and non-essential retail outlets ability to pivot their businesses and provide takeaways or deliver goods directly to customers.
- Post Offices are supporting small businesses and hospitality sector recover vital Christmas trading by staying open long hours during the week and weekends
- Personal cash withdrawals of £562 million, a dip of 4.5% month-on-month, indicates customers continued confidence and reliance on cash; December expected to see highest cash withdrawals since March when £634 million was withdrawn
Personal cash deposits remained relatively stable at Post Offices in November compared with the previous month, however business cash deposits fell 22%, largely as a result of national restrictions across England, according to the latest Post Office Cash Tracker.
Personal cash deposits of £966 million dipped 2% compared with October (£984 million). Business cash deposits totalled £719 million, a 22% fall on October (£924 million) and was the lowest amount deposited since June (£492 million) when the UK began exiting the first lockdown. Based on data from the summer, Post Offices are expecting a significant increase in business deposits in December as branches stay open longer hours and weekends in the run-up to Christmas.
Overall, cash deposits and withdrawals by business and personal customers amounted to over £2.27 billion in November. This was down 10% compared with October (£2.52 billion). Data is taken from the Post Office Cash Tracker showing the billions of pounds deposited and withdrawn each month at its 11,500 branch locations.
Post Office Cash tracker data – November 2020
| Cash deposits value (business & personal) | MOM% | YOY% | Cash withdrawals value (business & personal) | MOM% | YOY% | Total cash deposits & withdrawal value for November 2020 | |
| UK[1] | £1.69bn | -11.7% | -7.4% | £583.2m | -4.7% | -13.8% | £2.27bn |
| England | £1.35bn | -13.4% | -6.2% | £455.5m | -5.6% | -14.9% | £1.81bn |
| Scotland | £141.9m | -4.6% | -18.0% | £47.0m | -2.2% | -9.1% | £188.9m |
| Wales | £90.5m | -7.6% | -9.9% | £49.5 | -1.3% | -12.2% | £140m |
| Northern Ireland | £107.1 | -0.6% | -4.6% | £31.2m | +0.3% | -5.1% | £138.3m |
[1]Figures for cash deposits value and cash withdrawals value by country have been rounded to the nearest million. This is why value figures per country will not add up exactly to the total for the UK.
Business customers
Business deposits dropped 22% compared to October due to the national lockdown restrictions in England, and other regional circuit breakers across Wales, Scotland and Northern Ireland. While a significant drop, the impact of the lockdown was not as severe as the first lockdown. In April, business deposits fell to a low of £320 million, a 62% decrease compared with March.
As the UK exited the first lockdown earlier this year, Post Office data shows that business deposits in July were almost 40% higher than in June. With the removal of national restrictions in England on 2 December, an increase in business cash deposits at Post Offices is expected as small businesses and the hospitality sector open up and more people choose to support local businesses in the run-up to Christmas.
Commenting on the trend in business cash deposits, Martin Kearsley, Director of Banking at the Post Office, said:
“Following a peak in September, almost on a par with what we saw last year, we’ve now seen small month on month falls correlating with tiered restrictions and circuit breaks being introduced in parts of the country and culminating with November’s lockdown across England. Feedback we get from Postmasters is that small and independent businesses have increasingly come to rely on their local Post Office. We’re open longer hours throughout December and the Christmas period, and will support businesses to deposit their takings at a time that’s convenient for them.”
Personal customers
The value of cash deposits by personal customers remains stable, and greatly exceeds pre-Covid-19 levels. In November, £966 million was deposited in cash at Post Office counters, down just 2% compared with October. In terms of cash withdrawals by personal customers, £562 million was withdrawn at the Post Office’s 11,500 counters. That compares with £589 million withdrawn in October.
Personal cash deposits
Personal cash withdrawals
Martin Kearsley added:
“The steady amount of cash deposited by personal customers at Post Offices despite England being under national restrictions last month shows how much Post Office supports those who need to budget on, and use, cash and continues to exceed pre-Covid levels. With cash withdrawals remaining steady we see the reliance millions of people place on the ability to access and deposit cash in a quick and secure manner at their local Post Office.”
For further data and analysis, visit www.corporate.postoffice.co.uk/cashtracker
Ends
About Post Office Cash Tracker and access to cash
Data included in this press release reflects cash services used under the Banking Framework. Over 30 banks and building societies are part of the Banking Framework which enables their customers to withdraw or deposit cash at any of the Post Office’s 11,500 branches. The figures exclude Post Office Card Account withdrawals.
Post Office is central to the success of the Community Access to Cash Pilots initiative led by Natalie Ceeney, Chair of the Access to Cash Review. Pilots will run in nine local communities to trial how to improve their access to cash, three of which will be trialling a new concept branch – a ‘BankHub’ – providing dedicated retail space on the high street, combining the cash-transaction facilities of a Post Office with access to community banking services offered by retail banks. Post Office is also refurbishing branches or providing pop up services in the remaining areas.
[1]Figures for cash deposits value and cash withdrawals value by country have been rounded to the nearest million. This is why value figures per country will not add up exactly to the total for the UK.
Categories
About the Post Office
- With over 11,500 branches, Post Office has the biggest retail network in the UK, with more branches than all the banks and building societies combined.
- Post Office is helping anyone who wants cash to get it whichever way is most convenient. Partnership with over 30 banks, building societies and credit unions means that 99% of UK bank customers can access their accounts at their Post Office.
- Cash withdrawals, deposits and balance enquiries can be made securely and conveniently over the counter at any Post Office; and the biggest investment by any organisation or company in the last decade is being made to safeguard 1,400 free-to-use ATMs across the UK.
- Post Office is simplifying its proposition for Postmasters with a focus on its cash and banking; mails and parcels; foreign exchange; and bill payments services.
- Research has found that visits to the Post Office help drive another 400 million visitors to other shops, restaurants and local businesses equating to an estimated £1.1 billion in additional revenue for High Street businesses.
- 99.7% of the population live within three miles of a Post Office; and 4,000 branches are open seven days a week.
