Michael Collins (Cork South West, Independent) | Oireachtas source

I move:

That Dáil Éireann: acknowledges that:

— Irish banks and financial institutions are leading the agenda for a move towards a cashless society;

— the Government's policy so far has supported the objective of the banks, who are driven by the high cost of providing cash services and the push towards a more digital banking model, which incentivises banks to move away from direct provision of cash services, thus closing branches all across the country and limiting access for citizens to their own money;

— the agenda to move towards a full transition to a digital-only society has left many Irish citizens behind, particularly senior citizens and those on lower incomes, who may be less comfortable with technology and less able to make the switch from physical currency;

— the Government's strategy to make Ireland a "leader in digital payments" by 2023, together with other initiatives to encourage businesses and individuals to adopt digital payment methods, is undermining citizens access to cash and directly hollowing-out banking services across rural Ireland;

— rural communities could also be left vulnerable due to poor broadband and mobile connectivity;

— it is a discriminatory policy, driven by banking and Government interests, for a business or organisation not to accept cash as payment for goods and services, which disadvantages a large cohort of people including many senior citizens, people with intellectual disabilities, teenagers, children, people on low incomes, homeless people, and the general public, who may not have a bank account or access to a smartphone or credit/debit card for their own private and personal reasons;

— people on a low income or in debt tend to find cash easier to manage;

— a potential disadvantage of a cashless society revolves around security concerns, as online fraud, data and cybersecurity issues are a justifiable concern;

— cash allows people to make purchases anonymously, and without cash people would be forced to leave a record of everything they buy, allowing governments and/or corporations to use individual purchasing histories as a way to track, monitor, and even intimidate people;

— when an individual has cash at hand, they know it is safe from everything except direct robbery or physical destruction, however, when money is in digital form it is vulnerable to hackers and system malfunctions;

— any sort of power outage or network problem can make it impossible for a citizen to retrieve their money;

— in many ways, cash offers a level of monetary security that a cashless system cannot;

— a cashless society would enable more sophisticated criminality, as law enforcement can seize or destroy stores of cash, devastating criminal organisations, however, in a cashless society this advantage is lost, with the lack of an easy cash alternative likely to push many larger criminal organisations into offshore banking, cryptocurrencies, and other sophisticated digital tricks that would make finding and confiscating/eliminating criminally obtained money much more difficult; and

— a cashless society would also exclude a percentage of consumers who do not have access to financial products, as not everyone has access to a bank account or credit card, which are necessary for conducting cashless transactions;

notes that:

— the European Commission issued a recommendation (2010/191/EU), based on the report of the Euro Legal Tender Expert Group on the definition, scope and effects of legal tender of euro banknotes and coins, which states that retailers cannot refuse cash payments unless both parties have agreed to use a different means of payment, and that displaying a label or posters indicating that the retailer refuses payments in cash, or payments made in certain banknote denominations, is not enough;

— threats from organised cyber criminals are very real, and they frequently find new ways of breaching established security systems;

— during the Covid-19 pandemic, many more people made online and mobile purchases, and data breaches increased accordingly;

— a concern closely linked to security is privacy, as identity theft and compromised personal information are heightened potential dangers in a cashless economy;

— when someone pays digitally, a digital footprint is left behind, and this footprint is easily monitored and exploited by financial institutions, leaving many consumers understandably uneasy about their data being harvested or tracked by big businesses;

— it must be fully recognised that many people feel that cashless spending is more difficult to control, as it is simply too easy to overspend when a person is not looking at a finite, physical sum of money in their wallet or purse, and budgeting becomes more difficult;

— the cashless society will also prove costly for all Irish small businesses, beyond individual consumers, as most credit card and mobile payments attract a processing charge of up to three per cent, which will quickly eat into small profit margins, making it harder for independent shops and small-scale outlets to survive or compete with larger operators;

— in an unpredictable world, there is always a concern about system vulnerability and the resilience of the technology that supports a cashless society, with natural disasters or even large-scale cyber attacks likely rendering entire financial systems useless, and preventing people from accessing their money or buying what they need; and

— the Government's lack of action in this area has allowed the unprecedented situation to materialise in Ireland, benefiting banks, where there is no definitive legal requirement on a business to accept cash as a method of payment; and

calls on the Government to:

— recognise that there continues to be, and will likely always be, a societal demand for cash, and implement appropriate measures to ensure that all members of society can continue to access and use cash as a means of payment, including those who are not able or willing to use digital payment methods;

— accept that the Government and the Central Bank of Ireland (CBI), in accordance with the European Central Bank's Eurosystem Cash Strategy, have a fundamental responsibility, together with the banking sector, to ensure the smooth supply of cash and access to cash for consumers and small to medium-sized enterprises continues in Ireland;

— work with financial institutions and payment service providers to ensure that the provision of cash services is maintained, and that the cost of providing these services is not passed on to consumers or small businesses;

— immediately publish a concrete policy that supports the development and maintenance of a sustainable and resilient cash system, for as long as cash is needed;

— fully recognise and accept that choice is key, and everyone has the right to spend and bank on their own terms;

— put in place robust protections against cybercrime and fraud, and ensure that consumers and small businesses have access to effective dispute-resolution mechanisms;

— ensure that the use of digital payment methods is voluntary and not mandatory, and that consumers are given clear and accurate information about the cost, risk, and benefit of different payment options;

— recognise the importance of cash as a means of payment and take steps to promote financial inclusion and access to basic financial services for all members of society;

— without delay, develop "access to cash" legislation, in line with the recommendations of the Department of Finance report entitled "Retail Banking Review November 2022", and implement this legislation before the summer recess, so that the right to use cash is placed on a legal footing;

— instruct all Irish banks and banks that operate within this jurisdiction to provide reasonable access to cash, allowing for the further evolution of the cash infrastructure to be managed in a fair, orderly, transparent, and equitable manner for all stakeholders, and to ensure all retail outlets and businesses, together with consumers, have access to cash services;

— categorically state and instruct, via the CBI and the Minister for Finance, that all retail banks must preserve consumers' and businesses' access to cash services, pending the development of the "access to cash" legislation;

— provide the CBI with responsibility and powers to protect the resilience of the cash system, including the authorisation and supervision of cash-in-transit firms, in respect of their cash handling activities and related financial services;

— sanction the Minister for Finance with the power to require certain classes of firms, sectors, or sub-sectors to accept or facilitate, to an appropriate level, the acceptance of cash;

— immediately implement, as Government policy, the requirement that all public bodies must accept or facilitate the acceptance of cash for the payment of goods, services, taxes, levies, fees, or charges; and

— work with other member states of the European Union (EU) to ensure that the right to use cash as a means of payment is protected, and to resist any attempts to create a fully cashless society at the EU level.

I thank our staff, Mairéad and Brian Ó Domhaill, for putting together the motion for us. I welcome to the Gallery Peter O'Donoghue from Kilworth in Cork, who has done quite a lot of work on this issue, both for us and for the country, over recent weeks.

We have brought forward the motion because the time has come to push back against the notion cash is outdated and unnecessary. We must recognise that a cashless society could lead to exclusion and financial instability for vulnerable groups. Moreover, the push towards a cashless society is driven by the interests of a few powerful corporations that stand to benefit financially from increased levels of electronic payment. Let us not allow these special interests to dictate the future of our monetary system. Let us instead protect cash as a means of payment that provides autonomy, inclusion and security for individuals and communities.

This means advocating for policies which ensure that cash will remain widely accessible and accepted and rejecting attempts by corporations to incentivise or mandate the use of electronic payment methods. Ireland cannot afford to take the role of cash in our economy for granted. We must recognise its value as a means of exchange that has served humanity for centuries by protecting cash. We can ensure that everyone, regardless of their financial status, will have the ability to participate in economic activities and maintain control over their finances. It is time to take action and stand up for the importance of cash in our society by legislating to allow everyone, irrespective of status, creed or colour, to have equal access to cash.

We all saw what happened in July last year, when AIB tried to go cashless. The people in my constituency were up in arms over the whole thing. I, along with the people of Castletownbere, Kinsale and Dunmanway, organised a public meeting because those branches were going to be made cashless. It was an astonishing state of affairs AIB was trying to impose on the people. In the interim, Deputies Mattie McGrath and Danny Healy-Rae and I left our homes in the early hours of the morning and went to the AIB headquarters in Dublin. We demanded a meeting and answers from the CEO, and while we were having our sit-in, AIB decided to reverse its decision due to the massive backlash by the people and by us few politicians who agreed with them. While we were delighted with the outcome, we must push back against the notion of cash being outdated and unnecessary.

The GAA is an integral part of Irish culture, representing not just sport but also community and identity. The association's move towards cashless entry is seen as a way to streamline the entry process and reduce the risk of fraud or theft. It has also, however, raised concern among many members and fans of the organisation. The GAA has a broad range of members, from players to volunteers and supporters, with varying degrees of familiarity with technology. Some may struggle with the transition to a cashless system and this could result in frustration or even exclusion from events. Financial inclusion and access to basic financial services for all members of society must be promoted.

Crucially, our motion requires that the Government develop access to cash legislation in line with the recommendation of the retail banking review report of 2022 and implement this legislation before the summer recess in order that people's right to the use of cash is placed on a legal footing. This proposed legislation must mandate Irish banks and all other banks that operate within the jurisdiction to provide reasonable access to cash, allowing for the further evolution of cash infrastructure to be managed in a fair, orderly, transparent and equitable manner for all stakeholders. It must also ensure all retail outlets and businesses, together with consumers, will have access to cash services.

Our motion was tabled, under the limited access we have as a group to Private Members' motions, to demand action from the Government. We call on the Government to recognise cash is a vital part of our society and that there will always be a demand for it. It is time for the Government to implement measures to ensure everyone, including those who cannot or will not use digital payment methods, will have access to cash. Our motion demands that the Government immediately publish a concrete policy that supports the development and maintenance of a sustainable and resilient cash system for as long as cash is needed. We must recognise choice is the key and that everyone has the right to spend and bank on their own terms.

Traditionally, when people thought of money, they thought of cash. From buying food to settling bar tabs, day-to-day dealings involved creased paper or clinking bits of metal. Over the past decade, however, digital payments have taken off and tapping a smartphone has become normal. Now, the revolution is about to turn cash into an endangered species in some rich economies. That is precisely why we tabled the motion, in an attempt to bring back cash from the brink. Unfortunately, Irish banks have been closing branches throughout the country in recent years. This trend has been allowed to occur while each Minister for Finance and government, currently the majority shareholders in Allied Irish Banks and Bank of Ireland, remain fully complicit through their silence. This trend must be reversed and action taken to protect cash as a means to buy goods and services.

A recent email from An Post shows it sees post offices as very much at the heart of maintaining access to cash for the communities and locally based SMEs they serve. It is currently dealing with the Government on that very issue and on the part that An Post and the post office network could play in the future. As the Minister of State will be well aware, many people and businesses rely on the ability to use deposit cash daily. Equally, faced with the cost-of-living crisis, many more people will choose to control their household budgets by spending only cash they have to hand. In many communities, the local post office represents the last ready access point to cash, given the ongoing retreat of many banks and the reduction in the number of ATMs. This applies to both personal customers and local SMEs. Of 910 post offices, 540, or 59%, have no bank within 5 km, while 375 of them, or 41%, have none within 10 km.

It has been suggested the Government will support the motion, but I hope it will not be like many motions the Government has been agreeing with lately, whereby it later quashes the motion. If it is going to agree with a motion like this, it will have to instruct businesses that are restricted to cashless transactions to stop immediately. A law will have to be put in place where, if they do not take cash, they will get severe fines. I spoke earlier about Peter O'Donoghue, who has travelled here from Kilworth. He exposed all this a number of weeks ago, when he went into a restaurant that would not take cash. He asked the gentleman who owned the business why that was the case and, from what I could gather from the radio reports afterwards, the gentleman more or less said he could eat somewhere else and that he did not want Peter's business there. That is appalling, astonishing carry-on for any business to have that kind of flippant attitude towards people who do not use a card and would prefer to use cash, as they are legally entitled to do.

I mean no disrespect to the Minister of State. I have probably said this to her previously, but it is sad to think that neither the Minister for Finance nor the Minister for Public Expenditure, National Development Plan Delivery and Reformcould see fit to come to the House to talk about this issue for the people. It reflects very badly on them. I mean no disrespect to the Minister of State, given that she has her own portfolio, but surely it is the senior Ministers' duty to come before the House and the people to give their reasoning for why the Government is going to agree to the motion. If it is going to agree to the motion, what is it going to do? Is it going to sit on its hands and allow businesses to go cashless at the click of a finger or is it going to stand up, tackle the issue and say what is going to happen to businesses that do not comply with the rules? It is up to the Government. The Minister of State, as a young person, will be aware of a great tradition where people who are growing up and working might get a little tip or whatever, and it is always divided among the staff. It might not mean much to everyone but it is a lot in its own right.

What is it coming to? When a child makes their communion or confirmation, they will open a card and what will be inside it is another card instead of a little bit of cash so they can buy sweets or computer games like we did when growing up. Kids love to open a card and get the traditional 50 quid or whatever, although it was five quid in our time. It is probably as much as €50 or €100 now. I cannot understand a society that wants to rule out the chance to use cash. I listened to Mr. Peter O’Donoghue who brought up the issue on radio, and it was very prevalent on the radio for a while. Elderly people said that they had gone to GAA matches but could not go in. Having spent their whole lives supporting clubs, they stood at the gates and were told it is all done by phone or by apps now. Elderly people do not understand that and no respect has been shown to them. That is right across the board and not just in this case. I plead with the Minister of State to not support this motion unless he is going to take action on it.

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