The latest on a war that is already lost….

Tuesday 16th May 2017

The latest on a war that is already lost….

Cash is on its way out….

Planners and the pointy-heads are constructing a future driven entirely by electronic payments. Paper money will cease to exist.

Cheerleaders for the cashless agenda say the eradication of cash is about fighting crime and terror.

They say physical cash makes organized crime and global terrorism possible. And that without that physical cash, criminals and terrorists will wither and disappear….

Some folk might swallow that line when they read it in a Daily Mail editorial. But, for me, it’s a fairytale that patently fails the giggle test….

  • What it’s about really….

The removal of cash from society is about the extension of government power and control over private money. Your private money.

The implementation of a cashless economy is a direct attack on your freedom and financial privacy.

The real agenda is to create an environment where no financial transaction flies below the official radar.

Every unit you earn, every unit you spend, what you spend it on, and where you spend it – will be an inescapable matter of record that will be logged, monitored and stored by bureaucrats and unelected officials.

It will be used to profile you (for National Security and crime-fighting purposes) and to assess you (for taxation purposes). Eventually, your financial history and what it reveals might even be used to control or subdue you….

That’s the real story the Daily Mail won’t print….

  • Inch by inch….

The planners are patient. The programme is rolled out so gradually – incrementally, inch-by-inch – it seems like nothing is happening. But it is – all over the developed world….

France, Italy, and Spain recently applied limits to cash transactions. €1,000 in France and Italy. In Spain, €2,500. Bigger payments must be made electronically.

India wages an ongoing war on cash. Australia will be cashless by 2022.  So too Sweden. Other Euro-countries aren’t far behind. The 500 euro note will be phased out this year. Production has already been discontinued.

Here in Britain, cash payments are in decline. Contactless cards and digital wallets are weening consumers off the folding stuff.

The world over, people are being turned-off cash – via a potent mix of public policy, banking regulations and new technology.

And the public is susceptible – sleep-walking into an Orwellian nightmare. A recent survey by Ipsos reveals that 33% of Americans and Europeans would be happy to live without cash….

When planners are so intent and the public so willing, the outcome is unavoidable. Cash is going the way of the dodo. Rely on it.

  • Brexit won’t make an iota of difference….

Brexit won’t immunize Britain from the global trend towards cashless economies.

Britain may be unshackling itself from the European-project, but the drive toward electronic payments is global in scope and design. It trumps mere Euro-matters. Britain will move away from cash – whatever happens with Brexit.

Contactless payment technology is driving big changes in the spending habits of British consumers. Whatever happens in Brussels, this technology continues to spread and undermine cash.

UK Cards Association say there are now 100-million+ touch-and-go cards in use in Britain. Annual contactless spending has rocketed 164%.

Barclaycard report contactless payments in service stations are up 285%.  Supermarkets, pharmacies, discount stores, pubs, restaurants and takeaways also report an upsurge. Aldi and Lidl report a 234% increase in contactless business.

Sainsbury’s are the latest big store to add contactless terminals. As these terminals increase in number and location, contactless payment will continue to spike.

Cash will become less functional; harder to use; more liability than convenience. Eventually shops will refuse to accept it – just like cheques.

  • Bank closures – serving the online agenda….

It’s no coincidence that banks are pulling down the shutters on more and more bricks- and-mortar branches. More than 1000 have closed in 30-months.

Last month, Lloyds announced another 100 branch closures.  In March, RBS announced 180.

The Co-operative Bank has already closed 50%+ of its branches. HSBC has decommissioned 25% of its estate. Yorkshire Building Society will axe 48 branches over the next 18 months.

Some locations are now bank-less. But the closures will continue. RBS boss Ross McEwan says it is ‘inevitable’.

McEwan doesn’t speak for other banking group bosses, but they will share his sentiments. High-Street banks are – like cash – on the way out. 2017 will be a record year for closures.

Banks say the closures are an unavoidable consequence of customers choosing to bank online. But is the tail wagging the dog? Bank closures force people into online banking – whether they want to go that way or not. Lack of any High-Street option means they have no choice.

And the phasing-out of High Street branches serves the cashless agenda. It accustoms consumers – particularly older generations – to a strictly digital form of personal finance. Eventually, it succeeds in making an entirely cashless economic framework easier to dump onto the populace as the next logical step….

  • The Money Truths prediction….

A charge on cash withdrawals from ATMs will be a future component of the war on cash. That’s the Money Truths prediction.

It won’t happen tomorrow or next month. But, somewhere down the line, charges will be introduced.

Charging a fee for withdrawal of cash from ATMs will prove an effective method of discouraging people from using cash.

And don’t think we dreamt this scenario up. It’s already been talked about – last November when banks and independent ATM operators met to discuss fees.

Independent companies own 57% of the 70,000 cash machines in the UK – machines located in supermarkets, shops, newsagents etc. Each time you use those machines to withdraw money, your bank pays just under 30p to the cash machine company.

Banks think the fees are too high and met with independent ATM operators to press their case. One solution mooted was to charge customers the fee instead of the banks.

Nothing came of it. But the situation hasn’t been resolved. And, now that the solution has been floated, you can guarantee that the problem will crop up again. That’s how things work.

If banks don’t want to pay the fees, either you will have to stump-up or the ATMs will disappear. Both ways, use of cash is discouraged. And that’s the objective.

  • Turning cash users into criminals….

The punishment and criminalization of cash users is another trend we expect to harden….

Penalizing behavior that doesn’t ‘fit’ with desired outcomes is a well-worn tactic of state and social planners….

Cash isn’t illegal yet. But situations can be created where it becomes the next best thing….

This phenomenon is already at work on the train network – where train users, unable to pay cash for tickets using the new cashless machines installed at stations, are heavily penalized when caught travelling without tickets….

For example, Mat Wheeler was recently fined £600 for not having a £2.30 ticket. He was only carrying cash and ticket machines at the station do not accept it. There was no ticket-seller onboard the train either….

The message is clear. Rely on cash and you’ll be confronted with situations where an inability or disinclination to pay electronically exposes you to extreme inconvenience or punitive penalties.

It’s subtle – but clearly built into the system. Expect to see more examples of this type of ‘incentivization’ on the road ahead.

One way or another the population is going to accept the cashless future currently being constructed for it. You can walk forward of your own accord. Or you can be dragged kicking and screaming. But you will be going where the planners intend for you to go.

The war on cash is already lost. They just haven’t made the victory speeches yet.

That’s how it looks from here….

All the best,

Dave Gibson

Money Truths