Cheques stay 'until 2016'

Cheques will not be abolished until an alternative paper-based payment system has been set up to replace them, the head of the Payments Council told MPs yesterday.

Richard North, the council's chairman, said no decision had yet been taken to abolish cheques and one would not be made before 2016.

He said they would only be abolished if there were alternatives that were being used by the groups that rely on cheques, such as the elderly and charities.