Cashless u-turn is discussed in Cork County Hall

Cork County Council has agreed to ask AIB not to attempt another move to cashless services for at least another 15 years.

The decision comes after AIB made a u-turn last week on its decision to remove cash services from 70 branches around the country.

Speaking at Monday’s full meeting of Cork County Council, Mayor of the County of Cork Cllr Danny Collins, described AIB’s proposal to remove cash services as “ludicrous” and said it left people in Cork county in a state of disbelief.

“It was shocking that this was announced at all, and our banks have to be made accountable. People power really stood out here. This will never happen again for at least 10 to 15 years,” he said.

As a business owner, Mayor Collins said approximately 75% of his turnover is cash and that many elderly people still use cash daily.

Also commenting was Independent Cllr Declan Hurley who said: “Rural communities cannot function in a cashless society. That’s the bottom line.

“A cashless culture now exists within the banking system and the change is probably inevitable, but it needs to come about in a way that doesn’t put rural communities at risk.”

In a recent statement, AIB said it decided not to proceed with the proposed changes to its bank services in recognition of the customer and public unease caused by the initial announcement.

The statement said: “In recent years there has been a dramatic increase in the use of digital banking services and a decline in branch visits and cash usage.

“In AIB’s case, there are 2.9 million daily digital interactions compared with 35,000 customer branch visits. There has been a 36% decline in cash withdrawals from ATMs and a 50% fall in cheque usage over the past five years.

“AIB has also seen a fall of almost 50% in branch over the counter teller transactions, while mobile and online payments have increased by 85% in that same timeframe.

“It was in the context of this evolving banking environment and the opportunity to enhance its longstanding relationship with An Post that AIB took the decision to remove cash services from 70 of its branches,” the statement added.

AIB went on to confirm that it will retain its 170-strong branch network in its entirety and will also continue to offer banking services through its relationship with at An Post at its 920 post offices nationwide.