TSB has today announced it will close 164 branches as the Bank continues to implement its three-year strategy announced in November 2019.
As part of today’s announcement and other wider changes in its business, TSB is removing around 900 roles. It is anticipated the vast majority will be colleagues who come forward for voluntary redundancy.
The changes have been driven by a significant shift in customer behaviour, including a reduction in the number of customers using branches and a significant acceleration in digital adoption.
As part of TSB’s strategy, the Bank had previously set out its intention to reduce its branch network in order to remain competitive compared to the wider industry. These changes today accelerate the pace of the overall branch transformation.
Debbie Crosbie, Chief Executive of TSB, said:
Closing any of our branches is never an easy decision, but our customers are banking differently – with a marked shift to digital banking.
We are reshaping our business to transform the customer experience and set us up for the future. This means having the right balance between branches on the high street and our digital platforms, enabling us to offer the very best experience for our personal and business customers across the UK.
We remain committed to our branch network and will retain one of the largest in the UK.
Robin Bulloch, Customer Banking Director at TSB, said:
Alongside these changes, we will continue to invest in our remaining branch network to offer high quality banking services, fully integrated with improved digital capability.
We are working to ensure the transition towards digital – which is being seen right across the economy – is handled sensitively and pragmatically for our colleagues and customers. We’re taking steps to support vulnerable customers and those in rural locations.
Branches earmarked for closure have been selected to ensure 94% of TSB customers can travel in 20 minutes or less to a branch, and the new network will have an average of 17,000 customers per branch, which remains below the UK average. The network will be the 7th largest in the UK.
TSB is making a total of 969 role reductions while 120 new operational roles are being created meaning there will be an overall net reduction of 849 roles.