Post Office to Deliver Cash to Vulnerable Customers

The Post Office is offering doorstep cash deliveries to 27,000 vulnerable people who are self-isolating during the coronavirus outbreak.

Tens of thousands of vulnerable and elderly people in the UK have been advised to "shield" themselves for at least three months, staying at home and strictly avoiding contact with others, because they are at the highest risk of falling seriously ill from COVID-19. 

The Post Office, working with the Department for Work and Pensions (DWP), is now offering cash deliveries to many of these households to ensure they can continue to access their pension and benefits.

The scheme will initially be open to 27,000 customers who already hold Post Office card accounts. These cards allow customers to withdraw their pension, benefits or tax credits in cash at Post Office counters, without needing to open a traditional bank account. 

The cash they normally withdraw will now be delivered to their doorstep, by 9 pm the day after it is requested and authorised by the DWP.

The scheme is only available to customers in England and there are no plans to extend it to the devolved nations.

Guy Opperman, minister for pensions and financial inclusion, said: "We're doing whatever it takes to ensure people are supported through these unprecedented times. This joint initiative enables us to reach out directly to those most likely to need support, and get cash delivered to their door where necessary.”

Martin Kearsley, banking director at the Post Office, said: "Being able to easily access cash is a vital service for older people and those self-isolating.”

Postal affairs minister Paul Scully said these customers “may be self-isolating but they are not alone.”

“I want to thank postmasters and their teams for their continued hard work to support our communities across the UK,” he added.

28% of Britons receive cash from Post Office counters each year, withdrawing money from bank accounts or receiving pensions and benefits. 

The delivery scheme follows initiatives by the Post Office and banks to allow self-isolating customers to designate a trusted person to withdraw cash on their behalf. The Post Office is sending customers codes via text, email or letter, which can be passed onto to a nominated family member and friend to authorise withdrawals and the cashing of cheques.

However, despite these efforts, campaigners have cautioned that the COVID-19 outbreak could hasten the arrival of a cashless society, leaving the millions reliant on cash behind—both immediately and in the future.

Cash use halved in the first days of the lockdown in late March, as shops stopped accepting bills they worried could transmit the virus and customers opted for contactless payments.

An estimated 2.2 million people—disproportionately elderly and vulnerable—are entirely reliant on cash on a daily basis. Their access has already been impacted by the closure of bank branches and ATMs. 

Gareth Shaw, head of money at Which?, said action must be taken to protect their access during the pandemic. 

“Both the government and retailers need to find a way to ensure that the millions of people who rely on cash, and may not have a bank card, can still pay for essentials during this difficult time,” he said.