Lloyds Bank Cheque Deposit ends at Post Office as group rolls out 95-branch closure plan
The option to use a Post Office counter to lodge a Lloyds Bank Cheque Deposit has been withdrawn, affecting customers of Lloyds Bank, Halifax and Bank of Scotland. The change, confirmed last month, arrives as the banking group prepares to close a further 95 branches and has prompted criticism from campaigners and small-business representatives.
Lloyds Bank Cheque Deposit ends at Post Office counters
Customers of Lloyds Bank, Halifax and Bank of Scotland can no longer deposit cheques at local Post Office branches. The service withdrawal was implemented last month even though cash withdrawals and cash deposits at Post Office locations will continue to be available for the group’s customers. A Lloyds spokesperson noted that the bank now encourages the use of its mobile application to pay in cheques by photographing them and has introduced a freepost cheque service for those who need it, adding that very few people were choosing to deposit cheques at the Post Office.
Lloyds Banking Group branch closures between May and March 2027
The removal of the Post Office cheque option coincides with a confirmed programme to close 95 bank branches between May this year and March 2027: 53 Lloyds sites, 31 Halifax sites and 11 Bank of Scotland locations are listed for closure. This wave of cuts sits alongside a separate plan that will see 49 sites close by October and follows an earlier announcement that involved 136 closures around a year ago. Once all previously announced closures are implemented, the group will have 610 branches remaining.
Which? consumer group figures and Link hub plans
Consumer campaigning work has tallied a wider retrenchment of physical banking over the past decade: 1, 470 sites have been closed across the group in the last ten years. The cash access network Link has said 14 new locations will receive a banking hub intended to protect access to cash. Banking hubs are described as shared spaces staffed by personnel from different banks on different days, offering services including withdrawing and depositing cash and paying bills.
Impact on customers, campaigners and small businesses
Campaigners have warned that removing the Post Office cheque facility while shrinking branch numbers will leave customers with fewer options for basic services. Devon councillor Cheryl Cottle-Hunkin said people are anxious because many cannot use digital banking, are forced to travel long distances to find a branch and often lack public transport; she warned this will hit vulnerable people hardest. Personal finance expert Andrew Haggar of MoneyComms described the situation as a "double whammy" for customers, saying small businesses that still receive cheques face impractical journeys to deposit them and urging that safety nets should be put in place. The Post Office has seen a year-on-year surge in cash withdrawals, a trend campaigners cite when warning about access pressures.
Lloyds' alternatives and staff arrangements
The bank has emphasised digital and local options as alternatives to the Post Office cheque route. A Lloyds spokeswoman highlighted the bank’s mobile app, a 24/7 messaging service, community bankers, PayPoint access and the remaining branch network as ways customers can manage money. The group did not specify how many staff will be affected by the latest closures but said every employee at branches marked for shutdown will be offered a role at another site or within another part of the business.
What makes this notable is the timing: the cheque service was withdrawn last month while the group is actively announcing additional branch closures, combining two cuts to physical banking that campaigners and small-business representatives say amplify the practical obstacles for those who rely on in-person services.
