The federal government has released draft regulations designed to ensure Australians who rely on cash can continue to use it for everyday essentials such as groceries and fuel.
The proposed rules would mandate cash acceptance for fuel and grocery retailers through new industry codes of conduct. The mandate would apply to in-person transactions under $500, while small businesses with an annual turnover below $10 million – or franchise groups below that threshold – would be exempt.
The government said the measures strike a balance between supporting cash users and minimising costs for businesses as the economy continues its shift toward digital payments.
“We recognise that Australians are increasingly using digital payment methods, but there will be an ongoing place for cash in our society under the Albanese Government,” the statement said.
The move follows public consultation earlier this year and is intended to prevent cash users from being left behind as more businesses go cashless.
Consumers will still be able to pay bills, including utilities and council rates, in cash through the Post Billpay service at Australia Post outlets.
The government will review the mandate after three years to assess whether it is meeting its objectives and to consider any need for expansion or adjustment. The review will also look at business impacts and developments in cash access and distribution.
In parallel, the Council of Financial Regulators and the Australian Competition and Consumer Commission are reviewing the broader regulation of cash distribution, with proposals released in July.
Submissions on the exposure draft regulations are open until 31 October 2025.
