The Retailer Spring Edition 2023

SPRING 2023

15

‘‘ Alongside the importance of providing customer choice, there is another reason why the accept ance of cash remains important. Imagine the scenario - a cyber attack, natural disasters or other significant events that knock out digital banking and payment systems. Businesses would still need to sell and people would still need to buy - if there were no physical alterna tive to digital payment, businesses, and society, could be left high and dry!

"When you stop to think about it, money is indeed one of the prime movers in modern society” says Nicky Severn “In its many forms, money is constantly on the move - changing hands, ebbing and flowing, supporting businesses and charities, migrating across countries and currencies. And, in an environment where bank branches are closing at a steady rate, Loomis is proud to provide an alternative way for transactional businesses in sectors such as retail to get their cash takings secured in their business bank accounts quickly and efficiently. From secure money safes to intelligent smart safes, cash in transit and cash processing, coin and note collection and delivery services, Loomis UK supports businesses throughout the UK by providing safe, secure and effec tive access to cash and comprehensive cash management solutions” “Here at Loomis, we firmly believe that it’s still vital to keep the cash flowing” concludes Nicky.

Without the ability to pay in cash, many marginalised groups in society could be left high and dry!”

It is for a combination of the reasons above that the UK government is keeping a close eye on protecting access to cash. Wider policy and political discussion has focused more generally on the future of access to cash and an inde pendent Access to Cash Review was established in 2018. While not advocating “a view on the merits of a cashless society”, the Review high lighted the risks to millions of people of such a situation and called on Government, regulators, financial services and others to work together to keep cash viable for the foreseeable future. In the 2020 Budget the UK Government made a commitment to legislating to protect access to cash and there have been a number other measures taken and action groups established aimed at preserving access to cash for con sumers and businesses over the long term. It’s vitally important that we don’t sleepwalk into being a cashless society”. “Let’s take a look at Norway for instance. On the verge of being a cashless society and yet now the Norwegian government is applying the brakes, with pro posals planned to force businesses to accept cash. Why? Not everyone is comfortable with digital solutions and there have been issues

with payment systems going down in recent years. And of course, there are issues for tour ists who do not have access to all the digital payment systems. There have also been some significant problems when electronic systems are interrupted, one such event which actually happened the day before Norway's constitution day in 2022 and caused chaos for consumers stocking up on champagne, beer and food for the big day. Consumers were forced to use cash where possible or miss out and the gov ernment said the experience “showed us that the ability to pay with cash must be preserved.” Whilst this scenario demonstrates a temporary consequence of digital payment failure, we should rememer that consequences could be far worse. In a cashless society, where people are solely reliant on digital payments, times of crisis could leave nations in a highly vulnerable position. For example, in war time any perpetra tor with power and ill intent could potentially use the digital pyamnt system to take control of the economy resulting in a huge impact on national security . Any suspension of digital payment systems, either by accident or intent could bring a nation to its knees. So all that being said, what is the role of Loomis in helping to provide access to cash?

Nicky Severn nicky.severn@loomis.co.uk loomis.co.uk/our-solutions/safepoint/ safepoint-compact