Keep accepting cash payments, Michael McGrath tells public bodies

Minister’s move follows criticism of announcement by National Car Testing Service that it would no longer take cash

All public bodies have been told they must continue to accept cash payments from people for services, the Department of Finance has confirmed.

The move follows sharp criticism of the announcement by the operator of the National Car Testing Service that it would no longer take cash payments.

Minister for Finance Michael McGrath signalled the move on accepting cash in a letter to fellow Ministers in June in which he said that public bodies under their aegis should continue to accept cash payments.

Earlier today, Mr McGrath posted on X, formerly Twitter: “I am currently preparing Access to Cash legislation & developing a new National Payments Strategy. I have therefore asked my Cabinet colleagues to ensure bodies under their remit continue to accept cash from members of the public seeking to access services.”

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Opposition TDs have been critical of the move to card only payments at some State services, including at the National Driver Licence Service centres.

In his letter to Government colleagues, Mr McGrath asked them to ensure that all agencies that operate under their aegis should “maintain their existing payment methods in relation to cash acceptance pending the completion of the National Payments Strategy”.

The Department of Finance is examining a new National Payments Strategy (NPS) that will decide whether cash payments to State bodies should continue.

The NPS will look at the acceptance of cash issue and consider if legislation should be introduced to require certain sectors or sub-sectors to accept or facilitate the acceptance of cash, the department said. “As a related issue, it will also consider whether it should be policy to require the public service to accept or facilitate the acceptance of cash.”

“It is for this reason I have written to all my Government colleagues asking them to maintain existing methods of cash payment for public bodies under their remit, pending the outcome of the National Payments Strategy. It is my expectation now that all public bodies that currently accept or facilitate the acceptance of cash should continue to do so,” Mr McGrath’s said in a statement.

“The NPS will consult the public in Q4 2023 on this topic and a finalised Strategy will be published in 2024. This engagement process will consider whether it should be Government policy that public bodies should accept or facilitate the acceptance of cash for the payment of goods, services, taxes, levies, fees or charges. The Minister is looking forward to hearing from the public and stakeholders on this topic through a public consultation,” the department said.

“While the Department is undertaking this research, the Minister has asked that public bodies continue to ensure cash acceptance for services provided.”

Pat Leahy

Pat Leahy

Pat Leahy is Political Editor of The Irish Times