Banks have been told by the City watchdog to provide customers with alternative options before axing branches and free ATMs.
Local communities must also be consulted before opening hours are cut, under stricter rules set out by the Financial Conduct Authority (FCA).
It comes after Money Mail called for an end to a raft of closures, slashed opening hours and restricted counter use.
Closures: Banks and building societies have been warned they must provide customers with alternative options before axing branches and free ATMs
Around 313 branches have already shut this year, according to data from ATM network Link. Santander sparked fury in April by cutting the opening hours of almost all of its 450 High Street branches.
And last year, Barclays began restricting which services customers could access at counters.
But under new FCA guidance, banks will be expected to provide alternatives for closed branches, such as free ATMs.
Any banks considering counter closures may also have to explain how customers can access similar services. Sheldon Mills, executive director of consumers and competition at the FCA, says: ‘The industry must make sure it is supporting those who rely on cash and banking services.
‘That is why we’ve published updated guidance for banks that are considering branch closures and reminded them that we want alternatives, such as banking hubs, delivered quickly.’
