An Australia Post office that does not accept or provide physical cash has sparked outrage among locals who question how an essential service can refuse legal tender.
The Manly Post Office on Sydney’s northern beaches is only accepting digital payments via phone or card. Last week, an angry customer took to social media to share a photo of a sign prominently displayed in the store stating that “cash is not accepted”.
“Not good for an essential service – many disabled customers still use cash,” one person replied, adding that they worked for a disability support organisation.
Other commentators agreed with some who said it should be a requirement to accept cash considering Australia Post is a government-owned corporation and there are few alternatives to the services provided by a physical post office.
“So, those who go to the store to pay their bills that way can’t do it anymore?” asked one.
“What a joke! Now you have to pay an extra fee to buy a stamp,” said another.
“What I don’t like about this and places like Luna Park is that I have to give my kids my credit card when they go… with the new maths curriculum most of them wouldn’t be able to understand the change either,” added a third.
“Boycotted… I’ll spend it on something else, no more shelf toys or games for the kids,” added a fourth.
The Australia Post office in Manly no longer accepts cash, much to the frustration of some locals.
Australia Post said the Manly post office, which recently moved from Central Avenue to Raglan Street following flood damage, is a “concept store” it uses to test customer service strategies.
In April last year, the company held a community information session and distributed letters explaining that the transition to a cashless system would not be implemented in any stores.
“We carefully analyze customer demand before making decisions and are always looking for new and efficient ways of doing things that benefit the customer and the community,” the letter seen by 7 News said.
‘The Manly Post Office is a concept store, the only post office of its kind in the country, and provides Australia Post with the opportunity to explore different ways of operating a post office to maintain a sustainable presence.
‘Australia Post will not be phasing out cash as a form of payment at post offices beyond the Manly concept store.’
Daily Mail Australia has contacted Australia Post for further comment.
In recent years, Australians have increasingly embraced tap-and-go digital payments as new research shows physical cash will disappear from circulation within a decade.
Lance Blockley, an independent expert on the payments market, estimated that by 2025 traditional cash would account for less than 4 percent of total retail purchases nationwide.
Australia Post said other stores will continue to use cash and the Manly store was unique.
Their research predicted that online shopping would continue to increase its share of the retail market and the preference for debit and credit cards at physical points of sale instead of carrying cash would remain strong.
Mr Blockley, managing director of consultancy The Initiatives Group, said in a submission to the ACCC that banknotes in all uses, not just retail, would account for 10.2 per cent in 2025, up from 24.2 per cent in 2019.
The Covid-19 pandemic accelerated a transition that was already happening with shoppers switching to contactless payments and online shopping in much greater numbers, he said.
Reserve Bank data shows that between 2009 and 2019, which coincided with the widespread adoption of RFID chips in cards, total cash payments in Australia roughly halved.