The shift towards digital payments has been clear for years. This trend offers undeniable benefits, including speed, transparency, and reduced security risks. However, a proposed regulatory change means cash could soon see a significant return. New draft legislation aims to ensure Australians can aalways access essential goods, even during technological outages.

The Purpose Behind the Change

This move focuses on resilience and inclusion. While most Australians prefer card or phone payments, a meaningful portion of the community still relies on cash. This includes older citizens and people in regional areas.

Furthermore, during emergencies like bushfires or network failures, electronic payment systems can become unavailable. The government’s draft rules seek to guarantee that everyone can purchase basics like groceries and fuel, regardless of technical issues or personal preference.

Which Businesses Will Be Affected?

The proposed rules are targeted and practical. They will primarily apply to specific essential service providers:

• Petrol stations
  
• Grocery stores, including major supermarkets and independent shops
  

The obligation is limited to in-person transactions under $500, focusing on everyday purchases.

A business will also be exempt if its annual turnover is under $10 million. This threshold spares most small businesses, such as local cafés and family-run stores, from additional operational complexity.

Implications for Your Operations

For larger retailers within scope, this change requires revisiting cash processes. Necessary preparations may include:

• Re-establishing cash floats and secure till procedures
  
• Training staff to handle, verify, and reconcile cash transactions
  
• Planning for regular bank deposits and updated security measures
  

Potential Commercial Considerations

Adapting to this change may also present opportunities. Accepting cash can attract customers who prefer it or who live in areas where cash use remains prevalent. Promoting a “cash welcome” policy could help a business build loyalty within this customer segment.

Summary

This reform underscores that cash remains a vital part of Australia’s payment system. It is about ensuring choice and resilience for consumers while preparing businesses for a practical reality.