What was once a simple, everyday gesture — withdrawing cash from an ATM — could soon become a thing of the past in New Zealand. According to a new government-backed proposal, ATMs (automated teller machines) may be gradually removed from public spaces by 2027, in response to the country’s fast-shifting financial habits.
The plan, still under review, aims to reflect a reality already visible in many communities: cash is disappearing, and so are the machines that used to dispense it.
The end of ATMs?
A recent report by New Zealand’s Treasury and the Reserve Bank outlines the long-term decline in cash usage — down by more than 65% over the last ten years. Today, more than 80% of daily transactions are contactless, using smartphones, cards, or wearable tech.
“We’re not banning cash,” said a senior official.
“But we are acknowledging that maintaining the current ATM infrastructure no longer makes sense for a growing number of regions.”
In many rural areas, the cost of operating and maintaining ATMs has become unsustainable, especially as banks close physical branches. Some machines serve fewer than 10 people a day.
What the plan includes
The draft framework proposes:
- No new ATM installations after 2025 on public or government-owned property
- A progressive shutdown of low-use ATMs starting in 2026
- Incentives for mobile banking vans or shared cash hubs in underserved areas
- Education campaigns to help older or vulnerable populations adapt to digital tools
Banking officials and lawmakers insist the goal isn’t to “eliminate cash”, but to modernize access to financial services in a way that reflects how most New Zealanders now operate daily.
Not everyone agrees
The announcement has raised concerns, especially among older citizens, low-income households, and residents of remote communities who still rely on cash for budgeting or security reasons.
Critics argue that removing ATMs too quickly risks excluding thousands of people who either don’t trust digital tools or lack access to reliable internet.
One community advocate in Southland noted:
“People shouldn’t have to drive 40 kilometers to withdraw $20. It’s not just about convenience — it’s about dignity.”
Consumer rights groups are urging the government to slow down the timeline and prioritize inclusive alternatives, such as shared service points in post offices or local stores.
A sign of things to come?
New Zealand isn’t the only country facing this question. Across Europe and Asia, ATM numbers are shrinking fast. In Sweden, for example, cash is now used in fewer than 5% of all transactions, and entire cities have gone completely cashless. Australia and Canada are following similar paths.
The difference? New Zealand may become the first to make the phase-out official on a national level, with a structured timeline and legislative backing.
Whether that will inspire similar moves elsewhere or trigger backlash remains to be seen. But one thing is certain: the way people access money is changing forever, and the humble ATM may soon become a relic of the 20th century.
