I've been with HSBC for a long time now and didn't know this. I've not had to withdraw a large amount of cash though. They certainly don't hesitate to accept large amounts of cash being paid into an account though, I paid in £5000 at one point and have deposited up to £1000 regularly and they just smile and stamp. I have got a cheque book, I can't remember the last time I used it, but I'd find it very annoying if I called into the bank for MY money on the way to make a purchase or pay a bill only to be told I couldn't have it. I'm glad I've read this thread as that sort of treatment would annoy me enough to change banks.
Another annoying thing with HSBC, I asked if they could raise my limit on my credit card and was refused even though I had a balance of around £7000 at the time and my account had never been overdrawn (even to this day nearly 2 years later). I wanted to use my credit card to buy an £850 lens and my limit was, and still is, the £500 I was given when I started the account about 6 years ago. I only asked them to raise it by another £500 to a £1000 max and mainly for internet purchases. Good job I can use my Visa Debit card for it all. Ridiculous practices
this thread has reminded me I need to order a new cheque book 
the last one was in my car and has not been seen since the bump 
