'This is a disgrace': Cashless trend 'leaving more and more Aussies out in the cold'
Older Australians and those living in rural areas will still be left out in the cold despite government cash mandates, according to independent MP Andrew Gee.
The Wagga MP has long been a fierce advocate for the Cash is King movement and described the slow evaporation of cash in Australia as a "disgrace".
Gee told 9news.com.au the growing trend of cashless venues and digital transactions is impacting the most vulnerable people in the country.
READ MORE: Major bank to charge Aussies $3 fee to withdraw cash from tellers
Gee said the cashless trend leaves vulerable Australians in rural areas out in the cold. Sydney Morning Herald
"Not everyone is able to use online banking services. Many people, including senior Australians, find managing accounts and cards online to be stressful and confusing," Gee said.
"Cash is often used in rural areas by people who do not have ready access to banking services or reliable internet access.
"Despite cash still being legal tender, Australians cannot be guaranteed that their hard-earned dollars will be accepted as payment.
"This is a disgrace."
He warned rural areas can't be expected to depend solely on the internet for transactions.
"In country areas internet connectivity can be very poor and cash is crucial," he added.
"Cash transactions are unaffected by digital failures. Cash is vital during outages or disasters."
Gee and Bob Katter pose with fake money after introducing the Keeping Cash Transactions in Australia Bill 2024. Alex Ellinghausen
The move towards 100 per cent online banking sparked debate this week after Commonwealth Bank announced it would charge customers $3 for staff-assisted withdrawals.
Gee said fees like this may likely get worse if stronger cash mandates aren't enshrined into government policy.
"Australians are also paying about $1 billion a year in surcharges when they pay by cards and not cash," he said.
"Going completely cashless would see these surcharges skyrocket."
The member for Calare introduced his Keeping Cash Transactions in Australia Bill 2024 to parliament in June.
The bill would mandate businesses in face-to-face settings, within a premises, structure or vehicle at which a person carries on a business, must offer to accept, and must accept, payment in cash if the transaction does not exceed $10,000.
Cashless payments often involve surcharges. Supplied
Financial services minister Stephen Jones yesterday slammed the newly introduced bank fees and urged institutions to "rethink" this decision.
"This seems to me to be a tax on Australians who demand the right to use their cash, and the government won't stand for it," he said.
"We're working for Australians to ensure they can continue to use cash if they so choose.
"So we say to the Commonwealth Bank, this is the worst Christmas present ever.
"It's a kick in the guts to your customers."
The federal government will introduce legislation to protect the use of cash. iStock
What is the Albanese government's cash mandate?
The Albanese government says it will mandate that businesses must accept cash for essential items from 2026 while expanding on its plan to phase out cheques.
The proposal aims to ensure Australians who rely on cash, particularly during a natural disaster or digital outage, will still be able to make purchases.
It is likely essential items would include groceries and fuel and major businesses that would fall under the mandate would include supermarkets, banking services, petrol stations and healthcare services.
However, smaller businesses could be exempt from the legislation, depending on factors including the size of the business and the proximity of the business to population centres.
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