By DAN RYAN.
Regional banks may be shuttering services, but for one branch in Cowra, the bank is set for an upgrade, rather than a closure.
The news comes following a senate inquiry into bank branch closures, which heard from community organisations and councils, revealing a deep impact on older Australians, people living with disabilities as well as first nations Australians being disproportionately affected by a digital shift.
The Country Women's Association of NSW told the inquiry some members had to travel upwards of 100 kilometres to access in-person banking services, a task made all the more difficult for pensioners, or those living with a disability.
"CWA of NSW has advocated for a banking service that doesn’t discriminate or disadvantage clients based on geographic remoteness, disability, inability to access and use electronic communications, lack of digital connectivity, or other impediments," the organisation said in their submission.
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"Australian banks have been closing branches in rural, regional, and remote areas of Australia for some years meaning that access to a bank branch and face-to-face banking services decreases as distance from the major coastal population centres increase. A trend that has resulted in individuals, businesses, community groups and other rural, regional, and remote Australians forced into a situation where they are paying a premium for basic financial inclusion."
Jennifer Bennett, Chief Executive of the Central West Joint Organisation, which represents residents across Cowra, Forbes, Cabonne, Parkes and Weddin shire councils also told the submission continued bank closures risked locking more people and businesses out of banking, for good.
"The assumption that online services are good enough to replace in person banking is flawed. Rather, it is disabling regional communities, particularly its most vulnerable," Ms Bennett said.
"Any aspirations to close the gap, support our elderly and disabled are harpooned by bank branch closures. Impacts on regional business, aspirations for growth and community livability are profound," she aid in a statement to the inquiry.
Following the announcement that Bendigo Bank will end its Cowra service agreement in October, any upgrade is welcome news for residents to see one bank double down on access. National Australia Bank (NAB) announced it will be upgrading 100 branches, with 82 in regional areas - including Cowra.
The $55 million 'network refresh' comes alongside what the bank is saying will include another 47 upgrades scheduled by October. However, even NAB has closed several regional branches over the years with its regional network dropping by close to 60% compared to its 1975 peak.
“These upgrades are about making banking easier, more personal, and more connected to the communities we serve. We see branches as community anchors, and we know that when it comes to major financial decisions, many people still want to sit down and talk to someone they trust,” NAB Retail Executive Paul Carter said.
“This is a deliberate move to restore belief in the value of retail banking ... We’re not just giving our branches a facelift – we’re investing in the people and places that make NAB what it is."
In May 2024, the Senate’s Rural and Regional Affairs and Transport Committee released its final report following 13 hearings and more than 600 submissions. The report recommended treating access to financial services as an essential service, requiring mandatory community consultation and impact assessments before any closures, and creating a Regional Community Banking Branch Program to support community-run branches.
Meanwhile, the Federal Government has negotiated a moratorium on some regional bank closures until mid‑2027 and expanded Australia Post’s Bank@Post servic, but in the final report presented to the committee investigating regional bank closures, the authors warned there was no simple solution.
"Agreements between Australia Post and the banks differ with each institution. The agreements set out fee terms and services to be offered on behalf of each individual institution. This means that customers have different services and limits available to them based on which bank they are with," the report said.
"These limits vary considerably and generate significant inconsistencies for customers. It also makes it difficult for Australia Post employees to effectively aid customers if they are having to navigate differing service terms."
