Cash is King – Coalition bill would give Australians the right to pay with cash

Cash is King – Coalition bill would give Australians the right to pay with cash

Australians will have a legal right to pay with cash for everyday purchases under new legislation being introduced by the Coalition.

Shadow Minister for Financial Services, Kevin Hogan, and Tony Pasin MP have announced the Coalition will introduce the Cash is King Bill 2026, to protect the right to use cash.

Most Australians assume they already have a right to pay with cash. They don’t. There is currently no general right to pay with cash at the point of sale.

Labor’s limited cash rules only cover supermarkets and fuel stations, purchases of $500 or less, and transactions between 7am and 9pm.

The Coalition’s Bill will go further, giving Australians a practical right to use cash across most of the in-person economy, while protecting small businesses.

Under the Coalition’s Bill, we will:

• Expand cash acceptance to major retailers, including chemists, hardware stores, department stores, restaurants and fast-food chains;
• Require Commonwealth agencies to accept cash for eligible over-the-counter payments, so government follows the rules it expects of businesses;
• Lift the transaction limit from $500 to $2,000 and remove the 7am to 9pm restriction; and
• Protect small businesses by exempting businesses with annual turnover below $10 million, providing

exemptions for genuine safety risks, and prioritising education over fines for medium-sized businesses.

The Coalition estimates its Bill will cover more than 80 per cent of in-person retail transactions. Mr Pasin said locals deserve the right to use their own money.

“Cash is legal tender. If you walk into a shop with a fifty-dollar note, you shouldn't be turned away. That shouldn’t be controversial,” he said. 

“Here in Barker, plenty of locals still rely on cash. Many use it to budget and to keep control of their own money.”

“When the power goes out, cash was the only thing that works. That’s exactly why it needs to be protected.”

Shadow Assistant Treasurer and Shadow Minister for Financial Services Kevin Hogan said Labor’s cash mandate falls well short of what Australians expect.

“Around 1.5 million Australians rely on cash for most of what they buy – but Labor’s current cash rules leave out essential goods like medicines, clothing, and hardware supplies.” Mr Hogan said.

“If you can use cash to buy groceries, why can’t you use it to buy medicine, clothes or a meal?” 

“We’ve been careful to protect small business. We don’t want to add red tape for small businesses. If a business faces a genuine security risk, it’s exempt. This is about the big businesses where most Australians do their shopping every day – big businesses who aren’t covered by Labor’s rules.”

“Instead of their credit card debacle – the Government could have supported cash as a simple way to pay without a surcharge and to promote competition. Cash is the ultimate check on payment fees.”

“Australians should be able to choose how they pay, without being forced into a cashless economy.”

“Cash is king - and under the Coalition we won’t see it overthrown.”

Why a right to pay with cash matters:

• Resilience: Cash still works when the power is out, the network is down, or a natural disaster hits.
• Whether it's bushfires, floods, cyclones or major telecommunications outages, Australians need a reliable backup to digital payments.
•  Privacy and control: Many people use cash to budget and control their own money. It cannot be frozen or switched off by a bank or payment provider – and leaves no electronic trail.
• Choice and competition: Cash doesn't attract a card surcharge and gives consumers a genuine alternative to digital payment providers.
• Financial inclusion: Cash doesn't require a bank account, a smartphone, an internet connection or a good credit history. It provides an important payment option for people who cannot, or do not want to, rely entirely on digital banking.