Rt Hon Sir Julian Smith KCB CBE, MP for Skipton and Ripon, has welcomed a breakthrough after Lloyds Banking Group agreed to seek the restoration of cheque deposit services at Post Office branches and Banking Hubs until the end of 2030.
Julian was one of 121 MPs from across the House of Commons who signed a cross-party letter coordinated by Graham Stuart MP calling on Lloyds to think again.
The letter was sent to Lloyds Banking Group Chief Executive Charlie Nunn after residents and MPs warned that older, vulnerable and digitally excluded customers were being left without access to a basic banking service still offered by other major banks.
In its response, Lloyds said it had reflected on feedback from customers and MPs and had asked the Post Office to accept cheque deposits into Lloyds accounts in Post Offices and Banking Hubs until the end of 2030.
The change is subject to the Post Office agreeing acceptable commercial terms with Lloyds.
MPs say Lloyds and the Post Office must now get the agreement signed so customers can deposit cheques locally again.
Banking Hubs have made a real difference to communities which lost local bank branches. They are helping to keep face-to-face banking alive for residents, small businesses, charities and community groups.
But Lloyds was the only major British bank which did not allow its customers to deposit cheques at Post Office branches and Banking Hubs.
That caused problems for customers who still rely on cheques, especially older residents, small businesses, charities and community groups.
Lloyd's also said the decision to extend cheque deposits for a transition period until 2030 would ensure that those who may need more time are supported.
Commenting, Julian said: "This is a welcome step forward for customers who need to deposit cheques locally.
"Local Post Offices play a vital role in keeping face-to-face banking available for residents, small businesses, charities and community groups. But access to basic services must include cheque deposits.
"Many people still rely on cheques, including older and disabled customers. They should not be forced to use apps, post cheques or travel long distances when other major banks already offer this service through Post Offices and Banking Hubs.
"Lloyds has moved in the right direction. It should now finalise its agreement with the Post Office so customers can deposit cheques locally again."
