UK Post Office reports surge in cash deposits

As the economy recovers between lockdowns, so the UK Post Office has seen higher levels of cash deposits than 2019 for the first time this year.

Cash deposits from business and personal customers were up 7.7% in September compared to the same period in 2019. Cash deposits and withdrawals by business and personal customers amounted to £2.6bn in September across all 11,500 Post Office branches.

Nick Read, Chief Executive at the Post Office, said: “Our data shows that cash deposits are exceeding what we saw at the start of this year, as well as the amount that was deposited at the same point last year, well before the Covid-19 pandemic struck. We’ll be monitoring closely what impact the recently introduced lockdown measures have on small businesses’ ability to stay open and deposit their takings at our branches. They will continue to be the place where cash can be quickly and locally deposited helping to give small business owners more time to keep serving their customers.”

Business cash deposits amounted to £965 million, up 16.2% compared to August. Commenting on September’s data, Martin Kearsley, Director of Banking at Post Office, said: “It’s encouraging to see the highest amount of money deposited at our branches all year. Cash deposits by personal customers recovered quickly after the first UK-wide lockdown and now far exceed what we saw even at the start of the year. We are encouraged to see Business deposits now recovering strongly too and continue to support all local businesses with their cash needs. Cash withdrawals are making a steady recovery which signifies growing consumer confidence which in turn helps small businesses and local high streets as we know where cash is taken out locally it tends to be spent locally too.”