UK MPs demand action over rural bank branch closures

Members of Parliament in the United Kingdom are calling for urgent action to address the loss of face-to-face banking services in rural communities. During parliamentary debates, MPs highlighted the difficulties faced by residents following the closure of multiple bank branches in towns such as Bungay and Honiton.

In Bungay, MP Adrian Ramsay argued that current criteria for establishing banking hubs are insufficient. He noted that while cash access may remain via other services, this does not equate to the personalized support provided by staffed branches. The Bungay Town Council intends to submit a new application for a banking hub later this year.

In East Devon, MP Richard Foord described the trend of rural bank closures as a ‘heist’ of essential services, particularly impacting vulnerable citizens. He noted that Honiton is set to lose its final branch when Lloyds closes in March 2027, following previous closures by Santander and NatWest. Data from the Financial Conduct Authority indicates that fewer than 15 per cent of rural East Devon residents lived within a mile of a bank branch prior to these recent closures. A new banking hub is expected to open in Honiton in February 2027.