Three Kent towns suffering from a bank shortage are being eyed up as potential spots for a banking hub – despite previous attempts being snubbed.

Whitstable, Tonbridge and Faversham have been shortlisted by Cash Access UK as possible places to bring a communal space dedicated to the world of banking.

Featuring on a nationwide list of 27 communities that have seen severe cuts to their town centre services, bosses behind the project say they hope to see some hubs open by Christmas.

Gareth Oakley, chief executive of Cash Access UK, said: “We look forward to having hubs open in 30 communities by Christmas, and 60 more opening next year.

“Our member banks and Link will now work together to consider any impact on cash provision in communities as a result of the building society’s decision.”

John Howells, chief executive of cash machine network Link which decides which towns qualify for a hub, added: “Our view is that a number of the bigger towns do need banking hubs to support the existing Nationwide branch, post office and ATMs.”

Ten banking hubs have been set up countrywide since the scheme started, although 92 have been sanctioned by Link so far.

A banking hub is a shared space which sees different banks operate from the area on different days, allowing those less able to use technology to carry out basic functions such as withdrawing and depositing money.

Since the start of last year, more than 1,150 branches have either been shut or put on notice of future closure, leaving dozens of communities without a bank.

Natwest, Barclays and HSBC are some of the big brands who have chosen to close some of its branches in Kent within the past 12 months, leaving many elderly people in banking wilderness.

A typical bank branch costs £300,000 a year to run whereas a hub costs only £250,000 to maintain — a cost split across all banks that use it.

Nationwide, one of the founding firms of the project, has since decided to scrap its involvement in the project – choosing instead to focus its resources on promoting its 605 branches which it is committed to keeping open until at least 2026.

When Nationwide withdraws in early 2024, Cash Access UK will be freed up to install hubs in towns where all the banks have disappeared, but where the building society remains.

The current agreement prevents this from happening, resulting in towns with a remaining Nationwide branch – such as Faversham – not benefiting from a hub.

This is despite the building society — unlike mainstream banks — not offering banking services to small businesses, clubs or charities.