26 May 2026
MPs from across the political spectrum have urged the Government to review how banking hubs are assessed and delivered, warning that rural communities are being left behind as bank branch closures continue across the UK.
The concerns were raised during an Adjournment Debate in the House of Commons on 20 May, led by MP Graham Leadbitter, who highlighted the scale of bank closures affecting rural areas and questioned whether existing banking hub criteria are fit for purpose.
Opening the debate, Mr Leadbitter said his constituency had seen the number of bank branches fall from 22 in 2015 to just six today, a 77% reduction across an area covering almost 100,000 residents. He argued that while digital banking has changed how many people access services, face-to-face banking remains essential for vulnerable residents, older people and many rural businesses.
MPs from rural, coastal and urban constituencies across England, Scotland, Wales and Northern Ireland contributed to the debate, with many raising concerns about long travel distances, poor public transport links and difficulties for local businesses that still rely on cash services. Several Members criticised the current criteria used by LINK, the organisation responsible for recommending banking hubs, arguing that the system does not adequately reflect the realities of rural life.
Speaking during the debate, Mr Graham Leadbitter said:
“There is also the vital question of community sustainability. The loss of banking services in rural communities makes it harder to attract people to live and work there.”
He also highlighted the challenges faced by smaller rural towns that may technically fall within existing distance thresholds but remain difficult to access in practice due to geography, weather and limited transport connections.
The debate also focused on the wider role banking hubs can play in supporting local economies. MPs highlighted the importance of in-person advice for small businesses, community groups and residents seeking help with savings, mortgages, fraud concerns and basic financial services.
Responding for the Government, Economic Secretary to the Treasury, Rachel Blake acknowledged the importance of banking services to communities across the country and pointed to the Government’s recently announced independent review into access to banking services, which is expected to report in October 2026.
The Minister said it would be “premature to conclude that all people and communities are receiving support with their banking needs”, despite progress in rolling out banking hubs. She also reiterated that banks and building societies are expected to put suitable alternatives in place when branches close and confirmed that the Financial Conduct Authority has powers to request closures be paused where concerns arise.
The Government has previously stated that the banking sector is committed to delivering 350 banking hubs across the UK by the end of this Parliament. However, MPs during the debate argued that significantly more may be needed to meet the needs of rural and isolated communities.
