A CAMPAIGNER from Harpenden who is leading the battle to stop the rash of bank closures in rural areas is claiming a crucial victory.

Director of the Campaign for Community Banking Services Derek French, who lives in Roundwood Park, says this week's revelation by high street banks that they are considering sharing branches in rural areas is a 'major breakthrough' for customers in villages such as Wheathampstead.

Mr French says residents in Wheathampstead, who lost their only bank when Barclays closed its branch there last September, could soon have a stronger banking presence if the plans are considered viable by the major banks.

'This is potentially very interesting for Wheathampstead, although anything that does happen will not happen overnight,' he said.

'But it's definitely a breakthrough and at last the banks appear willing to look at the concept of community banking, which would be a very cost-effective form of banking.

'We've had many victories, such as stopping major banks closing some of their rural branches, but this is the most significant one as it represents a potential long-term solution.'

Representatives from all the major banks were due to begin talks to decide whether the radical idea is viable yesterday (Thursday) and the British Bankers' Association (BBA) has confirmed that a committee has been set up to discuss the issue.

The news marks a significant turning point in Mr French and his team's three-year battle against the major banks.

This included a campaign against Barclays when the bank axed its branch in Wheathampstead along with 172 other branches across the country.

Mr French said: 'These community banks would be very popular and there is definitely a consumer demand for them, although the banks need to overcome their natural hostility towards each other first.

'If one was formed in Wheathampstead it would be busier than Barclays was as it would be used by customers of all the participating banks.

'Wheathampstead has a population of about 5,000 and this is the type of population that cannot really be served sufficiently by the average post office, which sometimes only has an arrangement with one bank, causing greater queues.'

Mr French added: 'A community bank would be a neutral, independent run company where customers of all participating banks could go and do their everyday banking.'

'There are many misconceptions about this idea of a shared bank as some people think it would contain cashiers from three or four of the major banks working separately or that the different banks would occupy the premises on different days.

'But these ideas would be very expensive and they would never happen. Instead,