The Payments Council, the organisation that sets strategy for UK payments, will vote on whether to abolish cheques on the December 16th.
The move is expected to save banks hundreds of millions a year, with the cost to process a cheque around four times more than an electronic transfer.
It’s estimated that over three million cheques are being used every day in the UK and the method of payment has been used for around 300 years.
Charlie Mullins, whose plumbing company deals with 1,500-1,700 customers each week, 40% of which currently pay by cheque, said: “It seems to me that this is yet another example of greedy bankers looking to make money at the expense of business owners.
“Forcing an end to the use of cheques will make it much more expensive for firms such as Pimlico Plumbers. And for those businesses that are already struggling in the recession it is yet another hit to their cash flow.
“According to the banks, abolishing cheques will help stop fraud and discourage people from spending money they don’t have, but surely this can happen with credit cards in exactly the same way? I just hope the Payments Council see sense and put an end to these plans.”
Do you agree with Charlie or do you think that given the recent problems with Royal Mail strikes moving to BACS for payments is the way forward for your business?