Banks should not be able to decide the future of cheques, a committee of MPs has warned.
The Treasury Select Committee said in a report released on Wednesday that it welcomed a decision by the Payments Council not to abandon cheques, but warned that banks should be stopped from withdrawing the payment method "by stealth".
In July the Payments Council cancelled its target withdrawal of all cheques by 2018, and said that it would continue to offer cheques for as long as customers required them.
This followed pressure from the Treasury Select Committee and consumer groups, who opposed the change.
Recommending that banks be made to write to each of their customers to state that cheques will continue to be in use for the "foreseeable future", the committee added that the reintroduction of the cheque guarantee card should be considered.
The committee also called for reform of the Payments Council to make it more accountable to consumers.
"The incentives for the industry to get rid of cheques has not gone away. Neither have we," said Andrew Tyrie, who is chairman of the committee.
"The Payments Council is an industry-dominated body with no effective public accountability. It should not have unfettered power to take decisions on matters, such as the future of cheques, or other issues, that are of vital importance to millions of people."
Gary Hocking, who is acting chief executive of the Payments Council, said that the body did not believe more regulation was needed:
“Now this decision has been taken the next step for us will be to ensure that we have plans in place to continue to process cheques efficiently and securely despite falling numbers. We will also look at how we can ensure that customers receive consistent information about payments."
On the question of cheque guarantee cards, Hocking said that a fall in use by consumers from 90 per cent to less than two per cent for all cheques was behind its withdrawal. However he said that new research would be done to assess the impact of the decision.
Sarah Brooks, who is director of financial services at Consumer Focus said:
"Cheques may not be able to survive forever but they must stay until there are workable alternatives that suit the businesses and consumers who still rely on them ... Payment systems can be seen as a utility in the same way as the railway network or National Grid. They should be subject to effective regulation."
Richard Lloyd, executive director of Which?, said: "The decision to retain cheques was a victory for consumers, but the Payments Council must now guarantee that banks will not deter customers from using them … The structure of the Payments Council now needs to be reviewed, and the voice of consumers strengthened on its board."
Lloyd said that research by Which? conducted in January showed that cheques were still popular, with 92 per cent of 1,338 people asked saying they wanted them to be kept.