Santander UK to Close 95 Branches Amid Digital Shift
- Abhinand PS
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- Mar 20
- 3 min read
In March 2025, Santander UK announced a significant transformation of its branch network, reflecting the evolving banking habits of its customers. This strategic move aims to balance the increasing demand for digital services with the necessity of maintaining essential in-person banking support.
Overview of Branch Closures
Santander plans to close 95 of its 444 branches across the UK by June 2025, affecting approximately 750 jobs. This decision comes in response to a substantial shift towards digital banking, with the bank reporting a 63% increase in digital transactions and a 61% decrease in in-branch financial transactions since 2019.
Restructuring of Remaining Branches
Post-closure, Santander's network will consist of 349 branches, categorized as follows:
Full-Service Branches (290): Offering comprehensive banking services.
Reduced Hours Branches (36): Operating on limited schedules to align with local demand.
Counter-Free Branches (18): Focusing on digital services with staff assistance, but without traditional teller counters.
Work Cafés (5): Innovative spaces combining banking facilities with co-working areas and cafés, fostering community engagement.
Introduction of Community Bankers
To mitigate the impact of branch closures, Santander is introducing Community Bankers. These professionals will provide face-to-face support in local communities, visiting areas affected by closures on a weekly basis and participating in local banking hubs.
Investment in Digital Banking
Recognizing the shift towards online services, Santander continues to enhance its digital platforms. The bank has seen a 56% increase in mobile banking users and an 89% rise in mobile app transactions since 2019. Investments include the development of a new mobile banking app and innovative digital tools like the "My Home Manager" app.
Impact on Customers
Despite the closures, 93% of the UK population will remain within 10 miles of a Santander branch. Additionally, all Santander account holders can utilize services at over 11,000 Post Office branches nationwide and 112 banking hubs. The bank is proactively contacting potentially vulnerable customers to assist them in transitioning to alternative banking methods.
Table of Key Changes
Category | Number of Branches | Description |
Branches Closing | 95 | Locations shutting down by June 2025. |
Full-Service Branches | 290 | Offering comprehensive banking services. |
Reduced Hours Branches | 36 | Operating on limited schedules to align with local demand. |
Counter-Free Branches | 18 | Focusing on digital services with staff assistance, but without traditional teller counters. |
Work Cafés | 5 | Combining banking facilities with co-working areas and cafés. |
FAQs
Why is Santander closing 95 branches?
The closures are a response to the increasing shift towards digital banking, with a significant decrease in in-branch transactions.
How will this affect customers who prefer in-person banking?
Santander is introducing Community Bankers to provide face-to-face support in affected areas and continues to invest in its branch network, including Work Cafés and refurbished branches.
What alternatives are available for banking services?
Customers can access services through the enhanced mobile banking app, telephone banking, Post Office branches, and banking hubs.
Will there be job losses due to the closures?
Approximately 750 jobs are at risk, but Santander is providing support to affected employees, including assistance in finding redeployment roles within the bank.
Keywords: Santander branch closures, digital banking shift, UK bank branch restructuring
Santander's strategic adjustments highlight the broader industry trend of embracing digital solutions while striving to maintain essential in-person services for those who need them.
Santander's Decision to Close 95 UK Branches: Implications and Customer Guidance
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