Independent MP Bob Katter has warned the transition to a cashless society may force some Australians “to go hungry” if they are unable to make payments with a card or digital transfer.
Fears over the impact of ending cash payments have been steadily growing over the past year, with advocates of physical currency claiming the transition could hand outsize power to banks and create major difficulties for those living in regional areas.
Mr Katter has been a vocal critic of business who refuse to accept cash, including within Parliament House after the building’s cafe refused to accept a $50 note from the Queensland MP in February.
In a bid to ensure no other Australian suffers a similar fate, Mr Katter joined with two other independent MPs, Andrew Gee and Dai Lee, on Monday to introduce a bill which would fine businesses who refused to accept cash payments.
In an animated interview with Sky News Australia on Thursday, the Queensland MP painted a bleak picture of a future without physical currency as he sought to drum up support for the legislation while taking a swipe at banks pushing for a switch away.
“If it’s the card, the bank controls that card,” he explained.
“If the bank says ‘no you can’t use that card to buy a loaf of bread,’ well then you’ll just have to go hungry.
“If we’ve got the money in our pocket, by law, they must take that money. So, you know, I can still buy my loaf of bread.”
Mr Katter also argued that cash allowed Australians to better keep track of their savings, before claiming he had two constituents approach him having lost significant amounts of money due to breaches in their bank accounts and suggesting they may never have realised the losses if not with checking their balance while withdrawing from ATMs.
The independent MP pleaded with Australians to realise the consequences of leaving cash behind, saying it would mean banks could control “every aspect of your lives,” as he framed the issue in terms of financial “freedom.”
Without cash, Mr Katter claimed, there was nothing to stop banks from cutting off all access to money if they decided someone was a “bad guy.”
“If you fall out with the bank management, which is a computer these days, you fall out with that computer, something registers you’re a bad guy, or not a person that we like in the banks, maybe if you’ve spoken up against the banks, then suddenly you can’t work the account,” he said.
“Every other bank gets the message from that bank that you can’t use the bank account, so now what do we do when you’ve got no cash?
“So it is a freedom battle.”
Despite Mr Katter’s warnings, none of Australia’s big four banks have announced plans to move away from offering cash services.
Research also suggests that while fear about the consequences of a cashless society have risen, Australians’ actual use of physical currency is in decline.
However, there is pressure from consumers for banks to improve their digital services, with almost half of Australians calling for better customer services when making payments and managing their finance online.