UK's ATM network increases fees in a bid to protect free cashpoints

Jan. 25, 2019 Share Source
LINK has recently announced plans to increase what ATM operators make per transaction in a bid to keep access to free-withdrawal cash machines available across the UK.

This move comes in response to a drop in cash demand spurred on by the increase of electronic transactions.

ATM operators who maintain cash points will receive up to £2.75 per cash withdrawal, while bank customers continue to withdraw their cash without paying fees themselves.

"It is vital we continue to provide free access to cash to those who need it,"
" John Howells LINK chief As quoted by BBC (Jan 23, 2019)

Excerpt from BBC article

Link's move follows a row over plans for a phased reduction in interchange rates, the fee operators receive from banks.

The fee is being cut from 25p to 20p over the next three years but the move which led to accusations that "cash deserts" could be created as operators shut less lucrative machines.

There are more than 50,000 free-to-use ATMs across the UK - and the vast majority will not be eligible for the new super premiums.

Currently, around 3,500 ATMs are protected - because they are more than 1km away from the next nearest free machine or are located in particularly deprived parts of the country where access to cash is vital.

"These premiums will further safeguard ATMs in remote and less well-off areas,"
" John Howells LINK chief As quoted by BBC (Jan 23, 2019)
Last Updated: Jan. 30, 2019