Starting 25 October 2025, the UK government is implementing new cash withdrawal limits to enhance financial security and curb financial crimes. These changes will affect how much cash you can withdraw daily and weekly, particularly for certain account holders.
What Are the New Cash Withdrawal Limits?
Under the new rules, individuals and businesses will be restricted to a maximum withdrawal of £3,000 per day from their accounts, whether at an ATM, a bank branch, or a post office counter. This limit applies to both personal and business accounts, with limited exceptions for specific, verifiable circumstances such as:
- Large property or vehicle purchases
- Emergency medical or family situations
- Certified business transactions requiring immediate liquidity
The Treasury and banks will manage exceptions through verification checks and documentation to confirm the legitimacy of large cash withdrawals.
When Do the New Limits Take Effect?
The new cash withdrawal limits will officially take effect on 25 October 2025. From this date, banks and ATM providers will enforce the limits. If you normally withdraw larger sums, planning ahead is essential to ensure access to needed cash.
Why Are These Changes Being Introduced?
Officials say the £3,000 limit aims to balance access to cash with the need to address financial crime. In recent years, UK authorities have reported rising cases of money laundering, fraud, and tax evasion linked to large cash transactions. Meanwhile, cash use continues to fall, with over 80% of UK transactions now digital via cards, bank transfers, or mobile payments.
How Will the New Limits Work?
Starting in October 2025, most ATMs will only allow withdrawals up to £500 per day. This also applies to counter withdrawals at certain branches, depending on the bank. Customers with specific financial needs or a history of larger withdrawals may negotiate higher limits with their bank.
Who Will Be Affected?
All customers, including individuals and businesses, will be affected. Older customers, particularly those aged 65 and above, may face additional restrictions. Banks are introducing tiered withdrawal limits for this age group to protect against scams and unauthorized access.
How to Prepare for the Changes
- Talk to your bank to know your specific withdrawal limits
- Plan ahead for large withdrawals
- Consider using digital payment methods like transfers or cards
- Keep documentation for exemption requests
- Assist older relatives in understanding the new rules
Conclusion
The new cash withdrawal limits, effective 25 October 2025, aim to enhance financial security and curb financial crimes. While some adjustments are necessary, understanding the rules and preparing ahead ensures continued access to funds without disruption.
FAQs
When do the new cash withdrawal limits take effect?
The new limits take effect on 25 October 2025.
What is the new daily cash withdrawal limit?
Most customers will have a daily limit of £500.
Who will be affected by these changes?
All individuals and businesses, with extra restrictions for older customers aged 65+.
How can I prepare for the new withdrawal limits?
Talk to your bank, plan large withdrawals in advance, use digital payments, and keep documents for exemptions.
Will I still have access to my funds?
Yes, the limits are designed to protect your funds while maintaining access.
