Acorn adds its voice to growing fears over the abolition of the cheque book

Acorn Stairlifts has given written evidence to Treasury Select Committee, which last month re-opened its inquiry into the future of cheques after being “inundated” with public concern over plans to abolish them by 2018.

The vast majority of Acorn’s customers are over the age of 65 and it receives more than one third of its payments from individual customers by cheque, handling more than 1,000 a month. It also send hundreds of cheques a year to customers whose friends have bought Acorn’s products after recommendations.

Many more Yorkshire firms are thought to be unhappy about the changes

In its evidence, Acorn said: “We strongly recommend the Treasury Select Committee insists that the UK Payments Council rescinds its announcement that cheques will be phased out by October 2018; develops a suitable and generally acceptable alternative to cheque payments, if indeed this is possible; and sets a new date for the abolition of cheques only if there is a generally acceptable alternative to cheque payments.

“We are not convinced that any alternative will provide the flexibility and ease of use that cheques provide. In any event, the onus should be on the banks to propose suitable alternatives. Only if and when these alternatives are seen as generally acceptable should any date for their withdrawal be even considered.”

Acorn, based in Steeton in West Yorkshire, said it had also raised its concerns with the Office of Fair Trading which is currently reviewing the mobility aids market.

Acorn, which has 480 staff, took turnover to £80m last year, up from £65m in 2009, on the back of a strong performance in the US.

The UK Payments Council, made up of the major banks, announced in 2009 that cheques would be abolished as long as viable alternatives are developed.

But the Commons committee said it was unconvinced by the council’s argument cheques are “in terminal decline”.