But the decline is less marked in deprived areas, according to research by an ATM network
THE number of cash withdrawals made by people in Cardiff has dropped by nearly half since 2019, but the decline has been slower in more deprived areas.
This is a decrease of over £210 million since 2019, from £687,000,000 to £477,000,000, according to new statistics from LINK, UK’s cash access and ATM network.
“I am not a fan of the ATMs I probably use them once a year,” said Gwyn Chapple, 75, who was shopping in Cardiff city centre.
“I was with Lloyds before, but this year they have shut so many branches across the UK. Not only that, but the ones that stay open are reducing their opening times.
“It has taken me 75 years to do it, but I only use my bank card now.”
LINK’s data shows that more deprived areas are moving away from cash more slowly.
Cardiff South and Penarth had a 60% reduction in the amount of cash withdrawals since 2019, while Cardiff East had a 41% reduction.
According to the National Centre for Social Research, Cardiff East is more deprived than Cardiff South and Penarth, based on measurements of income, education and housing.
Shops that did not traditionally take cash, such as stalls in Cardiff Market and antique shops, have still felt the pressure to take card payments.
“It is a lot easier and simpler to take cash, but a lot of young people do not have cash,” said Ian Cooling, a manager at Jacob’s Antiques.
“The card transaction fee is around 1.6%, so there are very few grumbles about it.”
However, some businesses struggle with having to pay the additional fees.
“We put a sign here, saying cash is king, because the fees that we have to pay on card transactions is quite high,” said Oliver Bryant, manager of Tokyo Nights in Cardiff Market.
“We don’t want to have to pass this onto the customer, as almost 95% of our transactions are card payments.
“It is handy to have cash. Sometimes the phone doesn’t work, or the trader doesn’t have internet, so it doesn’t always go through.”
South Wales is moving away from cash slower than many other areas of the UK.
Merthyr Tydfil and Aberdare, as well as Blaenau Gwent and Rhymney are in the top 20 areas in the UK with the slowest declines in ATM withdrawals.
