Residents have described their disappointment and say they feel let down by the closure of banks in their towns and villages across East Devon. 

In East Devon 12 banks have closed since 2019 and is set to continue in 2024 with major lenders confirming multiple closures. 

Rural communities in Honiton, Axminster, Exmouth and Sidmouth are closing at an 'alarming rate.' Residents are forced to travel at least 10 miles from Exmouth to Exeter to access a branch. 

A number of banking hubs have been set up in Post Offices in Axminster and Sidmouth to help residents, but they say that they don't offer everything a traditional bank does. 

Sharron Brown is a British sign language interpreter in Exmouth, her job is to help people hard of hearing to live independently as adults. She says the idea banks are closing in Exmouth at such an alarming rate really scares her. She has changed banks three times every time they announce their local branch is closing. Having a physical branch in Exmouth is really important to her. 

“I really wouldn't know what my clients will do if they don't have a particular branch to speak to someone face to face.” 

She said: “There's always a queue at the bank and the post office. There is never enough staff and they also have plastic panels. My clients struggle with that because they are trying to lip read and look at facial expressions. The idea that banks are closing in Exmouth are such an alarming rate really scares me, I really wouldn't know what my clients will do if they don't have a particular branch to speak to someone in person.” 

Steve Gazzard, a visually impaired resident of Exmouth spoke to the Journal about his experience with the banks closing, said: “I have found it really hard since the banks have closed in Exmouth. The staff in Halifax and Lloyds are lovely and they weren't even told that the branch was closing, and were surprised to read about it in the Journal. I now have to travel to Exeter to do my weekly banking transactions which is hard as I don't drive I must rely on the hourly buses from Exeter to Exmouth. It also means the post office in Exmouth, is busier and I have been queuing one time and the staff couldn't help a customer, he became agitated and abusive to the staff and the police had to be called. This is the problem with branches closing, it puts more pressure on the other services in the town, who are also struggling.” 

Deputy Town Clerk for Axminster Town Council Paul Hayward spoke to me about how the town centre businesses struggled when the town lost all its banks, and the town councils work to get a banking hub set up in the town, which is now up and running for a year. 

He believes the banking hub has helped residents after the branches closed in the town. 

 

In Honiton, the HSBC closed in 2022 and has opened up as a branch of Domino’s Pizza. HSBC also closed its branch in Sidmouth in 2018. 

In Exmouth, the only branches left are TSB in the Strand, Santander in Rolle Street and Nationwide, also in Rolle Street. 

When branches started to close, residents across East Devon began to campaign for banking hubs to be set up in towns and villages. These have been successful in Axminster and Sidmouth. 

These facilities offer residents the chance to do their banking in person with banks offering their services on a rotation basis. 

Axminster was the first town in the UK to have a new Cash Access banking hub, opening to residents in November 2023, a year after the last bank branch closed in the town. 

Sidmouth's banking hub opened in March 2023, offering a counter service operated by the Post Office, where customers of all major banks and building societies can carry out regular cash transactions. 

Business customers can use the counter services to withdraw cash, make cash and cheque deposits and use other cash services including floats and coinage. 

The hub also offers a Community Banker service where a representative of each of the five main banks will be on hand on a different day of the week to talk to their customers. The days are: Monday: NatWest, Tuesday: HSBC, Wednesday: Santander, Thursday: Lloyds and Friday: Barclays. 

The counter service is operated by Post Office staff, where customers of any bank can withdraw and deposit cash, make bill payments, and carry out regular banking transactions. Banking hubs are located in communities across the UK and are operated by Post Office in partnership with all the major high street providers and Cash Access UK. 

This interactive map shows the bank branches closed in East Devon, and where residents can find a banking hub. 

Jane Rockett – Chair of Axminster Chamber of Commerce talked about the troubles that businesses in Axminster experienced last year, when the last bank in the town closed. 

The banking hubs have recieved a mixed response from businesses, but most recognise they do help to keep cash in the town centre and save staff from having to make trips from Exeter.  

 She said: "One by one HSBC, NatWest, Barclays and Santander all closed in Axminster leaving us with Lloyds Bank as our only bank. Many people switched banks to join Lloyds thinking they would stay (some reported changing from HSBC to NatWest and then to Lloyds.)  

"Lloyds closed in November 2022 leaving us with only our Post office until the Banking hub opened in November 2023. Footfall dropped in the high street as people did their shopping in neighbouring towns while going to do their banking. With the loss of the bank also went the loss of the cash point machine in the centre of town – nearest was Tesco cash point which again takes shoppers away from the town centre.  

"Feedback from businesses to the loss of the last bank in town was extreme disappointment and a feeling of being let down. Not everyone is capable of doing online banking for example the vulnerable or the dyslexic – those living with dementia also struggled with the changes, not everyone drives and public transport is lacking in the area (one response from Lloyds at the loss of the cash point machine was that there is one in Musbury – this was impractical for many). Also many small businesses do not have spare staff to release to visit banks outside of town. 

She added: "As a business community we were thrilled to hear that Cash Access UK was setting up the banking Hub in Axminster. It was hoped that footfall would return and banking processes would be made easier. I think that the fact that we were without a bank for a year was too long and some have got used to going elsewhere. Feedback from our members regarding the Banking Hub are mixed with most recognising that the hub helps to keep cash in the town centre while others question what they consider to be a limited range of services.  

"One local solicitor reported that having the hub has enabled them to service all their client accounts and that it has saved them trips to Exeter (that they had to do before the Hub opened). Our pharmacist reported a similar positive experience enabling them to pay cash in and get change out – it also saved them trips to Exter which were time consuming, inconvenient and costly. Several reported that it was reassuring to talk to someone face to face from their bank if they had any problems or unusual activity on their account. 

"Perceived frustrations were that cheques take longer to clear than before, many business accounts are still directed to their business banking helpline for queries and some have difficulty in accessing change for their businesses. Axminster Chamber recognises that the Banking Hubs are a relatively new venture and we would welcome working with Cash Access Uk to promote better understanding of the facilities that are available at the Banking Hub. We would also hope that they will consider installing an external cash point machine. " 

Bank companies say that the reason for closing its branches is because fewer people are using them since the COVID-19 pandemic, and 'the shift to online bank services means that fewer people are using traditional branches in towns and villages.' 

They say the decision has not been taken lightly. 

In 2023, when Natwest in Exmouth closed its branch it said: “Closing a branch is a difficult decision and not one we take lightly. We understand that this branch closure may be challenging for many and we’re working hard to help prepare our customers, and our colleagues, for the closure.   

“We will introduce a community pop-up site following closure where a local colleague will be available to support face-to-face conversations around your day-to-day banking needs, support you with setting up and using our digital services, provide information and advice on how you can use your local Post Office for cash-based transactions, as well as provide advice on how to protect yourself against fraud and scams.”   

The Halifax branch at The Parade, Exmouth closed in August. They said: “Many customers are now banking online or using the phone instead of visiting the branch. Its figures show a 56 per cent fall in transactions over the counter or using the branch's deposit machine between 2018 and 2023, and a 47 per cent fall in cash machine transactions during the same period.  

“We are looking to provide a community banker who will visit Exmouth regularly to help with face-to-face banking matters."