Taskforce to stop trend of bank branch closures in regional Vic

Bank branch closures have devastated many small regional Victorian communities but a new taskforce plans to hold them to account.

The Commonwealth Bank branch in Port Fairy closed earlier this year. Picture: Nicole Cleary

It is hoped a new banking taskforce will help reverse the trend of branch closures in regional communities.

The Federal Government this week announced it was establishing a Regional Banking Taskforce to bring together banks and other stakeholders to assess how branch closures have impacted local businesses, industries and communities and work collaboratively to identify possible solutions.

Member for Wannon Dan Tehan said branch closures in his south-west Victorian electorate in recent years had been devastating.

The Big 4 banks have shut the doors on many bank branches in smaller communities in south-west Victoria in recent years.

The ANZ and Commonwealth branches in Port Fairy both closed this year, following ANZ’s departure from the coastal town in 2018.

The ANZ Bank branch in Port Fairy closed in August. Picture: Nicole Cleary

ANZ also deserted Mortlake this year, leaving the town of just over 1300 with no branch and no ATM — with residents now forced to utilise the post office for any banking needs.

Bank branches have also closed in Timboon, Cobden and Warrnambool in recent years.

“It’s really important that the banks answer for their closures,” Mr Tehan said.

“That’s why I think this taskforce will be important because we need to get an understanding of why banks are doing this.

“About a decade ago we went through closures and then we saw them opening up again.

“The trend seems to be reversing again so it’s important to get banks answering as to why they are closing branches.”

The taskforce will provide a platform to establish how the transformation within the banking industry, particularly branch closures, has affected those living in the regions.

Mr Tehan said it would enable the government to work closely with the banks and local communities to assess how these services can best be delivered in regional areas.

The taskforce will hold its first meeting in early November and will release an issues paper for public consultation.

“The local communities find it devastating when branches close in small communities,” Mr Tehan said.

“They are generators of jobs and provide really important services and we really want to do everything we can to avoid closures.

“Mortlake just lost their ANZ which was the last and it leaves the post office as the only option

“I would say to any bank, please look at the Mortlake community. It’s a strong community and it’s going to continue to grow. There is a fantastic opportunity there for someone to open up.”