MOVING to a cashless society risks “marginalising” some Islanders and making them “more vulnerable to fraud”, a charity has warned a panel of politicians.
Community Savings, which provides financial advice – as well as helping its members access banking services – is among the organisations and individuals who have so far completed the “Acceptance of Cash Payments” survey launched by the Economic and International Affairs Scrutiny Panel earlier this month.
The survey forms part of a review investigating the views of consumers and businesses on the use and acceptance of cash in Jersey.
One of the panel’s objectives is to identify whether there is a need for the government to “intervene” in any way, such as obliging all businesses to take cash or to consider phasing it out completely.
In its response to the review, Community Savings explained it was “dedicated to ensuring that everyone in our community has access to essential financial services”.
The response continued: “We are deeply concerned about the potential consequences of transitioning to a cashless society and strongly advocate for the continued acceptance of cash payments.”
Outlining its concerns, the charity added that eliminating the option to pay with cash would “further isolate those already struggling with digital banking”.
“Many individuals in our community, particularly the elderly and those with limited technological proficiency, depend on cash for their daily transactions.
“By removing cash as an option, we risk marginalising these vulnerable groups even further.”
It continued: “Not everyone can access or use electronic banking. Cash payments are crucial for individuals who lack access to digital financial services due to economic, technological, or personal reasons.
“Cash remains a universally accepted and straightforward method of payment, ensuring that everyone can participate in the economy.”
The charity also argued that a move to a cashless society “could make those unfamiliar with electronic banking more vulnerable to fraud”.
“The complexity of digital financial systems can expose individuals to scams and cyber threats, particularly those who are not well-versed in navigating these systems,” it added.
It concluded that the continued acceptance of cash payments was essential to ensuring “financial inclusion” and to “protect our most vulnerable community members”.
Deputy Montfort Tadier, who chairs the Scrutiny panel, said: “One of the key factors we’re looking at is about inclusion in society, and one of the strong themes that’s been coming out is about people who may not have access to a bank account at all – or who have got a bank account that they may only be able to use for for cash purposes.”
He continued: “We haven’t formulated any views at the moment, but we’re very mindful of the need for inclusion in any policy that’s coming forward from government.”
Deputy Tadier noted that the survey will have received thousands of online responses and nearly 100 written submissions by the time it closes.
However, he pointed out that the deadline for submissions is Wednesday and encouraged more Islanders to share their views – including those advocating for increased use of contactless payments – to ensure the panel received a “balanced” mix of opinions.
“Ultimately we’ll be making recommendations to government to make sure that they’re thinking about the mid- and long-term issues that are at play here,” he added.
Islanders wishing to take part in the survey can do so via the States Assembly website. Paper copies are also available and can be collected from the States Greffe at Morier House, or at parish halls.
