I will not give her a name ... I am going to call her Mary; that is not her name. So Mary goes into a
coffee shop. This coffee shop may or may not take cash. There might be a sign on the door which
says: “We do not take cash” but there probably is not anyway, if there were she would not be able to
see it. So she goes and sits down, she orders her coffee, and then it comes to pay the bill. The coffee
may be £3.50. It obviously is not the Portuguese coffee shop at those prices. I say that because it is
a good secret; if you want good coffee in Jersey go to a Portuguese coffee shop, they are often very
affordable and they have very good coffee. You can also practice your Portuguese if you want to.
But I should not digress too much. So Mary goes into this shop, she is presented with the bill: “£3.60
please.” “OK, there is £5.” “Sorry, we do not take cash.” “OK, I have got a card.” Goes to tap it.
Already there is an element of trust there. Did I say £3.60? £3.50, well, inflation now, it might be
£3.60. She is paying the £3.50 and of course it says: “Please insert your PIN.” OK, that happens to
us a fair bit. Mary tells me that it happens to her more often because her bank requires more security.
That is what she says. “Please put your PIN number in.” “OK, where do I put my PIN number?”
“It is just on this iPad please, can you touch ...” “I cannot see the iPad, I do not know where the
buttons are on the iPad.” “OK, well maybe give me your card, I can put your PIN number in for
you.” “I am not giving you my card because the bank has told me not to give my PIN number and
my card to anyone else. I am not giving you my PIN number.” “Well, what are you going to do
then?” “What do you mean, what am I going to do? I have offered to pay you £5 with this £5 note.”
“We do not take cash.” So that is the first scenario. Of course we are hearing some voices saying -
and this is including the Ministerial position here - that we could not possibly ask businesses, most
of whom already take cash and card anyway, to take cash because it would be an imposition on
business. The first question I would ask is where is the balance of harm in that scenario? What we
could say to businesses is it is OK for you not to take cash but what you do need to be mindful of is
your obligations under the Discrimination Law in Jersey which says that you must make reasonable
accommodations for people with disabilities. So rather than us forcing you to take cash what we
might do is require you to all have P.D.Q. (process data quickly) machines with raised buttons on
them because then if somebody comes in with a visual impairment - and they might just have a
temporary vision impairment of course, they might have cataracts - you have to produce that machine
for them to use. “You cannot do that, that is an imposition on business, I am going to have to change
all my P.D.Q. machines.” I think they are still called that. Or you change your machines to a P.D.Q.
machine where the person can feel where they are putting the numbers in. Which of those is more
of an imposition on businesses? I think it is the latter, the case that I just outlined, rather than the
former which is people have got money, let them pay you with money. If the money happens to be
contained in a bank account and they access that money through a card or through their phone, let
them do it with their card and their phone. If they do it because they have got access to a wallet and
inside the wallet there is a £10 note - look, there is another one, I will see how long we can keep this
going - then you should accept that £10 note because it is, as they say, legally erroneously, but we
know what it means in practice: this is legal tender. I should be able to spend Jersey money in Jersey.
Give me a good reason why I should not be able to do that? I could go through the whole of my
report. It depends on how the Minister might vote. [Laughter] We could come to an arrangement.
I think I am covered by parliamentary privilege and obviously that is a joke. £10 would never be
enough. [Laughter] I am not especially a businessman but I do occasionally do walking tours of
St. Helier. I was having a meeting with some fellow tour guides today in a hotel, and it is a very
occasional, we do it once a week each, it works out about once a month for me. If somebody comes
for a walk on a Sunday I say to them: “It is £10, that is the charge, how would you like to pay?”
Some are prebooked and if they get out £10 from their wallet I will say: “That is great, thank you”
and if they get out a card I will get out my phone now, because I can take it directly on my phone,
and I will take it that way. Which do I prefer? I do not really mind, I declare it all anyway, as you
would expect, but it is easier for me to have cash in the sense that I get charged less. There is no
charge for me to put £10 in the bank or £20. There is a small charge, it is 1.7 per cent on a SumUp
machine, if anyone is interested. But shops might be different. They might have different rates. I
understand that shops also need to deposit cash; there may be a cost that is involved with that,
depending on what their business model is. That is very much why I put in part (b), which is to look
at the wider context of this. Part (b) does ask for a policy paper on the long-term plans for access to
cash and cash usage in the Island, but to include examining fees that banks charge for depositing and
withdrawing cash. I must admit that my personal position is, would be in an ideal world, that banks
should not charge anybody - whether they are a business customer or a private customer - to either
deposit or access their own cash. If you are going to pay £1,000 into your bank it does not matter
whether you are doing that from a personal point of view or a business point of view - the bank should
not be charging you anything to do that because that is simply what banks are. When they start
charging you to put money with them, they are going to use that money to loan to other people, and
we know that is one of the prime ways that banks originally made their money. So I think that does
need to be looked at and I think conversations can happen. But of course the less that people use
cash - and there is a trajectory that people are using cash less and less - if this is allowed to continue
then the relative costs of banking in cash and using cash will of course go up. I always take the case
of LibertyBus as an interesting one. LibertyBus did make a submission to our Scrutiny Panel and
they say only 3 per cent of people pay in cash. They say that is a very small amount and, therefore,
there is not a great demand for people paying in cash. What they forget to tell us is they dissuade
people from paying in cash because they charge extra for it. It is £2.55 for a transfer ticket online.
You can get it cheaper if you upload money on to an AvanchiCard. In order to use an AvanchiCard
you have to get to the bus station in the first place, and you can pay cash at the bus station to top up
your card but if you try and pay cash on a bus you will be charged a premium. But you cannot top
up your card on a bus. So I would say to LibertyBus they need to start sorting that out. I think
personally one of the things that should hopefully come out in part (b), one of the panel’s
recommendations, is that when it comes to transport this should be considered one of those
fundamentals that you should accept cash for a bus service. Taxis I believe have to accept cash. I
think if you got cash out on a taxi they cannot refuse it, of course they are not going to refuse it, they
probably ask you to pay in cash. But not all of them will. A lot of them might prefer it to be paid
directly into the card machine because that goes straight into the bank account and it saves them
having to deposit it. We are treading on some fine ground here. But the bottom line is, whatever
happened to the old adage the customer is always right? Whatever happened in Jersey where
businesses are refusing cash? Are times so good that businesses can just say: “Actually we do not
want your money anymore, you can buzz off.”
[17:00]
There is a point to be made, coming back to the original point I was making. When a business says
to somebody: “We do not accept your cash” what they are also saying to them is: “You are not
welcome here. We do not want your sort here.” What sort is that? It is the sort that either prefers or
needs to pay with cash. The argument comes back - and it no doubt will come back from Ministers
- saying: “Well, somebody can just go somewhere else. They can walk, they can vote with their
feet.” They may not be able to. If they have a corner shop, for example, that suddenly decides after
this vote today, because the Assembly has not voted for this proposition, that they are going to go
cashless, we have given a strong signal that businesses should remain to choose, they can cut their
overheads we are being told by Ministers, by going cashless. So that person who may not be able to
walk more than a few hundred metres, if they can walk that at all, to get to their corner shop is going
to have to go somewhere else. They may need to consider getting a mobility scooter. They may
need to consider getting a taxi or rather, more likely, requiring a family member or a friend to pick
them up or to get somebody else to do their shopping. The corollary of that is that they lose their
independence, their agency, and their dignity as a result. The simplest thing of course would be to
say that shops and cafés should accept cash, unless there is a good reason for them not to do that.
What are the kind of exemptions that there might reasonably be? It may well be, for example, if you
offer services that do not require in-person sales, and I think perhaps of a quite innovative business
that has sprung up in the last couple of years next to the Town Hall where there used to be a
jewellery/watch shop. They have got a system of vending machines in there which provides services
after hours. I do not think there is necessarily any logic that those should be forced to take cash, but
others might make an argument. But it may well be that the Government providing services for
carparking - something I noticed when I was visiting Saint-Malo not so long ago - have machines
which are set up to be able to take coins and cash. I think the Co-op until recently did have that
facility, and that seems to have changed. Why did they change that? Probably because the law allows
them to and it is a business decision, but it is one which will have consequences on those who need
to queue to go to a till where they need to pay in cash. I think the other comments can be looked at
in the comments paper. I will simply forego some of those for the sake of expediency and trust that
Members might have read or will be reading the report as we go along. But the point I would make
here is why is this timely? If I recall rightly, we had the Minister for Treasury and Resources in for
our review, and I do thank Deputy Wilson, Deputy Southern, and Deputy Andrews for taking part in
that review quite early on in our Scrutiny process. I think it is fair to say it was a real eye-opener.
What started off as an economic inquiry into what might have been considered a fairly black and
white matter about whether you should use cash and how people use cash, very quickly became about
something much more than that. It became something of a sociological inquiry. It became cultural
as well, and we started to learn about people’s mental and physical health, and also the attachment
that people feel to having a tangible currency that they can use, along with the small things that come
with it: the conversations that you have in a queue while you are waiting to pay, the interaction you
have with the person behind the till. It might be something as simple as saying: “It is a lovely day
today, much warmer than it was yesterday. How much is that?” “That will be £4.65 please.” “There
you go, would you like the 65?” “Would you like the 15?” “Yes.” “There you go.” “There is your
change.” “Thank you very much.” Of course nowadays increasingly - depending on who you are
served by - that conversation might be a bit like: “Let me just cancel this. I have already set the card
machine up. Would you ... oh, you have got cash, have you? OK, that is £4.65.” “There you go,
there is £5, would you like the 65 pence?” “What is the 65 pence for?” “Well, just so you can give
me £1 back.” “Hang on a minute, let us see, that has confused me. I am not sure what to do with
that.” That is increasingly the kind of world we are living in. That is not an overriding factor of
course to support this proposition today, but I think that is the kind of world that we are potentially
falling into. There is a window of opportunity here. When we did have the Minister for Treasury
and Resources in, to get back to my point, and she said to us: “Look, there is no intention from
Government to phase out cash” our question was: “Well, it might not be your intention as a
Government to phase out cash, but do you accept that cash is going in one direction only? What
happens if more and more businesses refuse to take cash, to the point where most people cannot use
their cash in most businesses?” I think the answer was: “We will consider intervening at that point.”
That is what I remember. I think that is not viable at all because if the reason to not intervene now
is that it might affect the one or 2 businesses that have currently adopted a cashless model, it is going
to be impossible to intervene later because we would be past the point of no return. So if we are
going to take any action and ask businesses to take cash as a general rule, now is the time to do it. I
do make the proposition; I do ask Members to support both parts, I do ask Members to think not just
about themselves but about economic and social inclusion in their deliberations and when it comes
to voting. I do ask for support from Ministers if they are able to support part (a) and part (b),
notwithstanding the comments that have been made by the Minister for Treasury and Resources and
the Council of Ministers.