Regional bank branch closures again in focus

The closure of bank branches across rural areas in NSW has been firmly put in the spotlight again with concerns voiced in state parliament about the impact on country communities.

State Member for Murray Helen Dalton spoke of the devastating impact closures had on her own electorate, in south-western NSW.

It’s a problem familiar to many in communities throughout the North West as well, including Wee Waa which experienced a double blow when ANZ closed its doors in early 2021 and was followed by the closure of the NAB branch some time later.

“It is up to government to properly regulate banks to force them to look after rural New South Wales,” Mrs Dalton said.

“There was a time when we had the Commonwealth Bank—a government-owned operation—and we also had state government banks. The government kept the private banks honest, but then the government decided to privatise the Commonwealth Bank and the state government sold off its banks too. Private banks are now closing their doors all over regional Australia.”

Mrs Dalton said leaders could address the banking crisis experience in rural areas in many ways.

“The Liberal Party and Labor Party have threatened to bring the banks in line, but they have never followed through,” she said.

“This federal election is our big chance.

“Every rural MP and candidate should be asked what they will do to stop the mass closures of banks in our small towns. Banks will not regulate themselves.

“It is time for the government to step in and save our small towns.”

Mrs Dalton is not alone in her criticism of big banks and their decision to exit small rural communities.

Following the announcement that NAB would close its doors in Wee Waa, state Member for Barwon Roy Butler said the bank had abandoned the town and surrounding district.

“In a cynical decision, NAB has abandoned Wee Waa offering no attempt to capitalise on the closure of the ANZ bank,” Mr Butler said at the time of NAB’s closure announcement.

“The expectation that people in smaller regional towns will travel to larger centres is offensive and one that should be resisted by residents.

“Moving an account, especially large business accounts, is both difficult and expensive and there is no doubt that banking relationships are very important during adverse seasons.”