Because fundamentally, the landscape of banking in Australia is about to change dramatically. This drastic transformation poses threats to their accessibility and inclusivity for older citizens. In the words of Chris Grice, CEO of National Seniors Australia, older Australians find it difficult to navigate digital banking platforms. This is a population that is frequently disadvantaged when it comes to the technology and skills needed to use mobile banking applications. This dangerous trend lawmakers are creating threatens their fiscal health.
Grice pointed out that many older Australians are unable to afford smart devices, increasing their isolation from vital banking services. He thinks we need some kind of regulatory barriers to prevent banks from shuttering their physical presence. These branches are often the only access points for banking services for many vulnerable populations. Indeed, the landscape is becoming more and more dire. Australia is experiencing an eye-watering 33 percent reduction in bank branches from June 2020 to June 2025, with a massive 4.6 percent reduction just over the past year.
Patricia Sparrow, CEO of the Council on the Ageing Australia (COTA), emphasized the importance of face-to-face banking for individuals who harbor security concerns. The shuttering of local branches has made older Australians more insecure, both financially and personally. Unfortunately, this demographic is one of the biggest targets for scams.
“If you’ve been the victim of a scam, you’re going to be very uncertain and not confident to do something online. Going to somebody who can really help you is going to be important,” – Patricia Sparrow
The impact of branch closures reaches beyond the affected customers. Sparrow said small businesses in our regional towns and communities lose out too when local bank branches close their doors. Without convenient banking outlets, these businesses will face hurdles to conduct business smoothly.
Grice noted that cash and in-person banking move from optional to indispensable when digital systems are down. He noted that some of Australia’s largest banks have experienced online banking outages during the last two years. That’s right — it includes CommBank, Bank Australia, Westpac and NAB. All of these failures highlight the need for non-predatory traditional banking options to be available as a safety net.
“We need to make sure that there’s a follow-through on this particular process; it’s important. To have physical cash as a backup is important,” – Chris Grice
In-person banking gives bank tellers the chance to spot red flags of financial elder abuse. Grice went on to explain that bank employees have often reported situations where older customers are being pressured by their adult children or caretakers. They stand watch over the financial interests of these at-risk people.
“Bank tellers have done a great job over time in actually flagging or identifying circumstances whereby a carer or family member, they’ve basically been pressuring or intimidating an older person in terms of their money situation,” – Chris Grice
Sparrow agreed, saying when we see people face to face it gives us greater peace of mind for older Australians. She explained that in-person banking can provide emotional grounding and practical assistance during complex, nonstandard financial transactions.
“Any large financial transaction that you do, it’s actually easier to go in and speak to a branch than having to do it all online,” – Patricia Sparrow
Today the Australian government released their draft of these new regulations. These regulations specifically seek out bank branch closures and do their best to keep all citizens bank-accessible. This pilot arrives during a period of growing digital payment adoption among transit users. Both Grice and Sparrow contend that there is still an important role for cash to play in society.
“We recognise that Australians are increasingly using digital payment methods, but there will be an ongoing place for cash in our society under the Albanese Government,” – Daniel Mulino
The times are clearly moving fast in the banking sector. The increase of physical branch closures doesn’t only have grave repercussions for older Australians, but for all Australians. Decreased access to banking services has a broader impact. It puts America’s small businesses economy in jeopardy and could dramatically reduce the quality of life for millions of Americans.
Grice and Sparrow encourage banks not to lose sight of the human side of banking as they move further in the direction of automated banking services. They emphasize that human relationships are key to establishing trust and delivering more needed support.
“We don’t want to lose the human connection and what’s important in the community. I know there’s lots of jokes about bankers but it is an essential service and people actually do like going in and talking to a real person and not everything being automated,” – Patricia Sparrow
