LONDON, Oct 24 (Reuters) - Barclays on Thursday
said it will maintain customers' ability to withdraw cash from
Britain's Post Office branches, reversing a change announced
earlier this month that angered the public and lawmakers amid
cuts to the lender's branch network.
The bank's U-turn followed a week that had seen lawmakers
summon the lender’s executives to explain the move and
widespread criticism from customer lobby groups who said it
would especially hurt customers in rural areas.
In common with other British banks, Barclays has closed
hundreds of branches in recent years, leaving many in more
remote towns and villages without access to a branch where cash
can be withdrawn without incurring charges.
The bank had said customers would not be hurt by branch
closures because they could take money out for free from one of
Britain's 11,500 Post Offices as part of a partnership - but
then said that would stop in January.
"Ultimately we have been persuaded to rethink our proposals
by the argument that our full participation in the Post Office
Banking Framework is crucial at this point to the viability of
the Post Office network," Barclays Chief Executive Jes Staley
said.
The British lender reports third quarter earnings on Friday.
"I’m glad Barclays have come to this decision. They have
listened to concerns of politicians, charities and most
importantly their customers," said Natalie Ceeney, independent
chair of the Access to Cash Review lobby group.
"Barclays have finally read the writing on the wall and
caved to public and political pressure to dump this woefully
misguided policy," added lawmaker Rachel Reeves.
(Reporting by Lawrence White;
Editing by Andrew Cawthorne)