Rural residents hang up on mobile banking, regulator finds
With the decline of bank branches this article provides some interesting insights. It tells us
Consumers in rural areas of the UK are far less likely to use their smartphones for banking than their urban counterparts, a survey says.
The findings, from the UK’s financial regulator, are set to reignite the debate over bank branch closures – particularly in rural locations.
However, its report also suggests that those in rural areas are more satisfied with their financial circumstances.
The Financial Conduct Authority also exposed a north-south savings divide.
The data comes from a renewed assessment of a survey of 13,000 people’s financial lives by the FCA.
The survey, first published in October last year, found an estimated 4.1 million people are in financial difficulty due to missed domestic or credit bills.
An older population and patchy broadband and mobile coverage will be among the reasons for a take-up rate of just 23% in mobile banking and a 54% take-up of internet banking in rural areas, compared with 45% and 78% respectively in urban areas.
The report also reveals there is greater reliance on bank branches in rural areas, but also more difficulty in reaching those branches owing, in part, to health conditions.