12
Deferred
We challenged the Treasury on who is responsible for the performance of the cash system.
Conclusion
We challenged the Treasury on who is responsible for the performance of the cash system. It accepted that it was ultimately responsible for proposing legislation to 20 Qq 39–40 21 Q 40 22 Q 41 23 Q 43 24 Q 57 25 Q 64 26 Qq 63–64 27 HM Treasury, Access to Cash: Call for Evidence, October 2020, para 3.33 28 Q 48 29 Qq 48–49, 60 30 Q 50 31 Q 59 The production and distribution of cash 11 Parliament and therefore identifying gaps in legislation. It chairs the Joint Authorities Cash Strategy Group which helps coordinate the work of the FCA, PSR, Bank of England and the Treasury though the Group is not a decision-making body.32 Each body has its own governance and decision-making structures. The Treasury thinks it is inevitable that responsibilities will be divided across a number of public bodies. In its view, the priority is to ensure that the work of the various public bodies is coordinated and that information is shared.33 In its call for views published just before our October 2020 session, the Treasury proposed that the FCA should take on overall responsibility for setting requirements to ensure that the retail distribution of cash meets the needs of consumers and businesses.34
Government Response Summary
The government agrees with the implied recommendation (based on its own proposal) to clarify responsibility for the cash system. It states it is considering responses to its Call for Evidence regarding giving a single authority, such as the FCA, overall responsibility and will set out next steps in due course.
Government Response
Deferred
Government Response
Deferred
HM Government
Deferred
3.1 The government agrees with the Committee’s recommendation. Target implementation date: Spring 2021 3.2 The government aims to ensure that the authorities have the appropriate powers and responsibilities to oversee the cash system efficiently and effectively. The Bank of England, FCA, PSR, and HM Treasury each have roles and responsibilities for the cash system. 3.3 The government’s Call for Evidence on Access to Cash stated that there may be significant benefit in giving a single authority overall responsibility for setting requirements to ensure that the retail distribution of cash meets the needs of consumers and small and medium sized enterprises. Furthermore, it set out the government’s view that the FCA may be well positioned to take on this function through legislation. The government is considering the responses and will seek to set out its next steps in due course.
Source
Committee
Public Accounts Committee
Report
Thirtieth Report - The production and distribution of cash
04 Dec 2020
HC 654
Addressee Bodies
HM Treasury
Timeline
Recommendation age
5.6 yrs
Report published
04 Dec 2020