Kit PetersCHEQUE MATE: Lloyds caves in and brings back Post Office cheque deposits after MP backlash
Lloyds has been forced into a U-turn over a banking service that thousands of customers rely on — after stripping it away earlier this year.
The bank had quietly become the only major UK lender to stop customers paying cheques into their accounts at the Post Office, scrapping the service across branches and Banking Hubs.
Now, after a backlash from MPs and campaigners, it has agreed to bring it back.
Lloyds says it has asked the Post Office to keep accepting cheque deposits into Lloyds accounts until the end of 2030 — though the climbdown still hinges on the two sides agreeing terms.
The reversal followed a letter signed by 121 MPs from every corner of the Commons, demanding Lloyds boss Charlie Nunn think again.
Among them was Ben Lake, the Plaid Cymru MP for Ceredigion Preseli, whose largely rural seat borders Carmarthenshire.
Campaigners warned the move had hit the people least able to cope with it — older customers, disabled people, and those locked out of online banking, along with the charities, clubs and small firms that still deal in cheques.
And it landed at the worst possible time for south-west Wales, where high street banks have been shutting their doors at a relentless pace.
Lloyds itself is part of that retreat, having confirmed it will close its branches in Ammanford and Gorseinon in 2026.
The Halifax in Llanelli — also part of Lloyds Banking Group — is due to close in November, while the TSB name is set to vanish from high streets altogether after Santander’s takeover.
As the branches disappear, more and more people have been left leaning on the Post Office and new Banking Hubs, like the one confirmed for Gorseinon, just to get to a counter.
For those customers, being able to pay in a cheque around the corner is not a nicety — it is a lifeline.
In its response to MPs, Lloyds said it had listened to feedback from customers and parliamentarians.
The bank said keeping the service going until 2030 would help make sure customers “who may need more time are supported,” adding that for some — particularly older and vulnerable people — “familiarity and reassurance remain important.”
Mr Lake welcomed the move but warned Lloyds not to leave the job half done.
“I welcome Lloyds’ decision to seek the restoration of cheque deposit services at Post Office branches,” he said.
“Access to local Post Offices is essential for people across Ceredigion Preseli, as it keeps face-to-face banking available for residents, small businesses and community groups.”
He said it was “a matter of fairness” that people who rely on cheques — “often elderly, vulnerable or digitally excluded” — should not be forced to wrestle with apps, post their cheques, or travel miles when rival banks already allowed deposits at the Post Office.
He said that while Lloyds had “moved in the right direction,” it now needed “a concrete agreement” so its customers got the same access other banks already offered.
The campaign drew backing from right across the political divide, including the Conservatives’ Mel Stride, the Liberal Democrats’ Daisy Cooper, Green MP Adrian Ramsay and Jeremy Corbyn, now leader of Your Party.
While Post Office customers have still been able to take out and pay in cash, scrapping cheque deposits had left some with no easy way to bank their money close to home.
Related stories from Swansea Bay News
Lloyds Bank to close Ammanford and Gorseinon branches in 2026
The lender’s own retreat from south-west Wales high streets.
Halifax’s Llanelli branch to close in November
Another Lloyds Banking Group brand disappears from the high street.
New banking hub confirmed for Gorseinon
How communities are replacing lost branches with shared hubs.
