"200 Bank Branches, 6,000 ATMs Shut in Australia in a Year"
In the previous financial year, approximately 200 bank branches in Australia closed down, and over the past five years, with the advancement of digital payments, more than 6,000 ATMs have been decommissioned.
The latest research from Canstar indicates that the rate of bank branch closures outside of capital cities has slowed, with only 52 closures in the 2024 financial year, compared to 122 closures in the previous year.
The closure of non-regional bank branches has brought the total number of bank closures in Australia to 230.
Sally Tindall, Canstar's Director of Data Analysis, stated that the slowing pace of bank closures is not a "victory" for regional customers who rely on physical banking services.
"As banking and payments become increasingly digital, bank branches are disappearing," she said.
Closing a bank branch or ATM in a shopping center is significantly different from closing one in a remote area, where residents may spend hours traveling to the nearest bank, causing considerable inconvenience.
The slowing pace of regional branch closures is partly due to commitments from the big four banks, CBA, Westpac, and ANZ, to temporarily halt branch closures.
Advertisement
In terms of ATMs, the past financial year saw a reduction of 217 machines nationwide, with the largest decrease in major cities, where 51 fewer machines were available.
The Bank@Post service continues to play a significant role across Australia, with a total of 3,428 locations.The service allows customers to conduct basic transactions such as deposits and withdrawals at participating branches of banks that have agreements with Australia Post.
Canstar's analysis also found that some Australians still rely on cash for payments.
Tindall said: "The latest ATM statistics from the Reserve Bank of Australia (RBA) show that Australians withdrew a total of 107 billion Australian dollars in the past 12 months - this is a significant figure."
"As our payment and banking platforms evolve, banks, governments, and regulatory authorities need to continue to collaborate to address related issues."