In the last year, the main UK banks suffered 265 IT shutdowns that have prevented customers making payments, it said after analysing data from the Financial Conduct Authority (FCA).

The 265 IT glitches involved 133 incidents involving internet banking, 111 mobile banking failures and 90 telephone banking outages. A glitch can often occur on more than one of these systems at the same time, but is counted as a single incident.

Lots of communities are experiencing reductions to their cash infrastructure across the UK with Which? research showing that nearly 1,700 free ATMs around the country were slapped with charges of at least 95p earlier this year.

The consumer group’s new report, Everyday Finances, also found that nine in 10 people believe it is important that cash is preserved as a vital backup when digital systems fail.

The Which? analysis found that RBS and Santander customers endured the most IT glitches last year – with both banks suffering 18 failures. This is followed by Barclays (17), Tesco Bank (16) and First Direct (15).

Starling Bank and M&S Bank were the only ones that went a whole year without a single glitch.

Glitches continue to be common occurrences, just last week TSB account holders were left without their salaries as the bank failed to process overnight payments. TSB also announced this week that 82 branches will be shut next year.

The Which? research also found that 11 million adults lack the confidence to use online banking and two-thirds (65 per cent) of people think they would find it difficult to live their life without access to a bank branch at a time when the industry is carrying out widespread branch closures across the UK.

The UK has lost around a third of its branch network in under five years, the consumer group said.

Which? wants the next government to introduce legislation that protects cash.

Gareth Shaw, head of money, Which?, said: “In our nationwide survey, consumers have made it clear that cash is a vital back-up when digital systems fail – so it’s clear the next government should urgently introduce legislation to protect cash for as long as it is needed.”

Stephen Jones, chief executive of trade association UK Finance, said: “Operational resilience is crucial in a modern financial system and the industry continues to invest billions to ensure systems – human and digital – are robust and secure.

“When incidents do occur, firms work around the clock to minimise disruption and get services back up and running as quickly as possible.

“The industry conducts sector-wide exercises with regulators to ensure it is prepared to respond effectively to any major disruptions or events as part of its continued commitment to maintaining the resilience of the financial system.”

An RBS spokesman said: “Our systems are resilient and we have invested significantly in them to help keep our customers safe and secure. Our service availability level for customers is 99.98 per cent.

“However, we are not complacent and we will continue working to improve our service to minimise any incidents of disruption for customers.”

A Santander spokeswoman said: “Customers will never be left out of pocket as a result of an issue with our systems.

“Where an issue has arisen, we work with our customers to keep them informed and where possible provide alternative ways that they can access our products and services.”

In May, then Chancellor of the Exchequer Philip Hammond confirmed that the government had no plans to scrap cash any time soon and rubbished rumours that he was considering taking 1p and 2p coins out of circulation.

In the last year, the main UK banks suffered 265 IT shutdowns that have prevented customers making payments, it said after analysing data from the Financial Conduct Authority (FCA).

The 265 IT glitches involved 133 incidents involving internet banking, 111 mobile banking failures and 90 telephone banking outages. A glitch can often occur on more than one of these systems at the same time, but is counted as a single incident.

Lots of communities are experiencing reductions to their cash infrastructure across the UK with Which? research showing that nearly 1,700 free ATMs around the country were slapped with charges of at least 95p earlier this year.

The consumer group’s new report, Everyday Finances, also found that nine in 10 people believe it is important that cash is preserved as a vital backup when digital systems fail.

The Which? analysis found that RBS and Santander customers endured the most IT glitches last year – with both banks suffering 18 failures. This is followed by Barclays (17), Tesco Bank (16) and First Direct (15).

Starling Bank and M&S Bank were the only ones that went a whole year without a single glitch.

Glitches continue to be common occurrences, just last week TSB account holders were left without their salaries as the bank failed to process overnight payments. TSB also announced this week that 82 branches will be shut next year.

The Which? research also found that 11 million adults lack the confidence to use online banking and two-thirds (65 per cent) of people think they would find it difficult to live their life without access to a bank branch at a time when the industry is carrying out widespread branch closures across the UK.

The UK has lost around a third of its branch network in under five years, the consumer group said.

Which? wants the next government to introduce legislation that protects cash.

Gareth Shaw, head of money, Which?, said: “In our nationwide survey, consumers have made it clear that cash is a vital back-up when digital systems fail – so it’s clear the next government should urgently introduce legislation to protect cash for as long as it is needed.”

Stephen Jones, chief executive of trade association UK Finance, said: “Operational resilience is crucial in a modern financial system and the industry continues to invest billions to ensure systems – human and digital – are robust and secure.

“When incidents do occur, firms work around the clock to minimise disruption and get services back up and running as quickly as possible.

“The industry conducts sector-wide exercises with regulators to ensure it is prepared to respond effectively to any major disruptions or events as part of its continued commitment to maintaining the resilience of the financial system.”

An RBS spokesman said: “Our systems are resilient and we have invested significantly in them to help keep our customers safe and secure. Our service availability level for customers is 99.98 per cent.

“However, we are not complacent and we will continue working to improve our service to minimise any incidents of disruption for customers.”

A Santander spokeswoman said: “Customers will never be left out of pocket as a result of an issue with our systems.

“Where an issue has arisen, we work with our customers to keep them informed and where possible provide alternative ways that they can access our products and services.”

In May, then Chancellor of the Exchequer Philip Hammond confirmed that the government had no plans to scrap cash any time soon and rubbished rumours that he was considering taking 1p and 2p coins out of circulation.