Public hearing into regional bank closures hosted in Carnamah hears from locals, leaders and businesses

Small towns like Carnamah become more isolated and restricted when essential services, like banking, are taken away, residents told a public hearing this week examining the string of branch closures across regional Australia. The Senate Rural and Regional Affairs and Transport References committee held sessions in Carnamah and Beverly this week, hearing from local leaders, residents and businesses about the impact of bank closures in their communities. Locals in Carnamah have been vocal on the issue after Westpac shut down the town’s only bank in February, without community consultation. It means many locals now face a 240km round trip to go to the nearest bank in Moora. “We want banks to be accountable. They need to do their due diligence as to how it’s going to impact the wider community. They need to identify what needs to be put into the community as a replacement,” owner of Carnamah post office, Colleen Bennier, said. The Bank@Post service is available at the post office, but Ms Bennier concedes: “There’s a lot of things that happen at a bank that I can’t do.” The Bank@Post feature is unable to perform some of the essential services offered such as cashing in a cheque or using a credit card for a cash purchase, but Westpac insist the service can fill the boots. As well, residents have raised the issue the post office building has access issues for those with a disability. Ms Bennier attended the Carnamah public hearing on Tuesday, which will aid in a submission to the Federal Government in December. The committee heard from four witnesses — the Shire presidents of Three Springs, Morawa and Coorow and Carnamah Shire’s CEO — and five residents directly affected by the bank closure. They were allocated up to 30 minutes each to speak about their experiences. Ms Bennier said the committee asked personalised questions to each resident. “They were listening to us. It felt like they were there to help,” she said. The Westpac branch in Carnamah was closed in February without conducting an impact assessment, despite requests from the Shire CEO, Rob Paull. The banking giant assured the community they would be supported in their transition, and the Bank@Post service would be an adequate solution. “(Tuesday’s) hearing heard again the little regard our banks are having towards our regional communities that rely on them. This story is being heard time and time again where there’s lack of consultation with the communities involved prior to the decision to close the local branch,” committee chair and Nationals Senator Matt Canavan said. “These hearings are helping us finalise what the best way would be to guarantee an essential service to all Australians.” There was a notable absence from the Carnamah hearing, with no representatives from banks in attendance. Bankwest representatives attended the public hearing in Beverley on Wednesday. A Bankwest spokesperson said the bank was prioritising investment into areas favoured by customers, with 97 per cent of all transactions done digitally, branch use had seen a 44 per cent decline over the past three years. Ms Bennier explained Carnamah was now without a 24/7 accessible ATM, and residents could only get cash from the supermarket or the post office during opening hours. “Cash is still preferable for small towns, to go to the footy you need cash, to go to the canteen you need cash. Our closest ATM is in Dongara,” she said. The ramifications extended beyond the boundaries of Carnamah, as the branch had been servicing people in Three Springs, Perenjori and Morawa as well. They now face a round trip to Moora up to 360km. “That’s half a day off work, some people don’t even have a car. Let alone the cost of running the car. Time is money and not everyone can afford to be taking half a day away from their job,” Ms Bennier said. Besides leaving the North Midlands communities without a bank, the closure left four families without income — letting go two full-time staff members, a part-time staff member and a cleaner when the branch was shut. Residents say the bank closure has had a domino effect on the community, with people who travel to Moora to do their banking also doing their groceries and other errands in the same journey — taking business away from Carnamah. The evidence presented at the hearings in Carnamah and Beverley will be collated into a report to be tabled in the Senate, expected to be done by December.