A motion to hold Australia’s first parliamentary inquiry into regional bank closures in 19 years has passed through the Federal Senate this afternoon.
The new inquiry will look at the economic and welfare impacts of branch closures in regional Australia, as well as the process banks are following to close branches and reasons being given.
The inquiry has been referred to the Rural and Regional Affairs and Transport References Committee, which will report back to parliament by December 1.
The terms of reference are to report on the extent of bank closures in regional Australia, with reference to:
(a) the branch closure process, including the reasons given for closures.
(b) the economic and welfare impacts of branch closures on customers, and regional communities.
(c) the effect of bank closures or the removal of face-to-face cash services on access to cash.
(d) The effectiveness of government banking statistics capturing and reporting regional service levels, including the (APRA) Australian Prudential Regulation Authority’s authorised deposit-taking institutions (PoP) points of presence data.
(e) consideration of solutions
(f) any other related matters
The motion passed through the Senate with no opposition just after 4pm this afternoon.
The last parliamentary inquiry into this issue reported in 2004, tabling the Money Matter in the Bush report.
Two thirds of regional Australia’s ‘big four’ banks have been closed since 1975, with just 965 remaining.
More than 80 branches alone have been closed or had closure notices issues since the release of a report by a Coalition-organised taskforce comprising a majority of banking representatives on September 30.
More to come.
This article appeared on The Regional on 8 February 2023.
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