Federal Treasurer Jim Chalmers says the use of cheques are being wound up as part of wider reforms on how money is transferred in Australia.

People will still be able to issue cheques until 2028 and cash them in under 2029, while the ability to pay for essential services with cash is set to be more widely mandated.

Mr Chalmers confirmed to Tom Elliott that the end of cheques was coming, as the Albanese government tries to strike a balance on how cash is used more broadly.

Click PLAY to hear Jim Chalmers’ FULL interview on 3AW 

“We’re going to wind (cheques) up,” he said on 3AW Mornings.

“There’s a lot of government cheques and that’s part of the challenge here…we said a little while ago we’re going to modernise the payment system but we don’t want to leave people behind.”