TSB has announced the closure of 36 branches and the elimination of 250 jobs as it accelerates its shift towards digital banking. The job cuts will affect the fraud operations department, central operations, and staff at the branches earmarked for closure.
The branch closures are scheduled to begin in September and continue through to May next year. The lender stated that the decisions were driven by changing customer behaviour, with 96% of all transactions now taking place outside branches and a 43% decline in in-store transactions over the past four years.
Trade union Unite criticised the move, calling it a "grave mistake." Regional officer Andy Case said, "These workers perform essential work in the fraud departments and across the branch network." Unite will hold fresh negotiations with TSB to reduce job losses and support affected members.
A TSB spokesman said, "The decision to close a branch is never taken lightly, but our customers are now doing most of their banking digitally." He added that the bank remains committed to a national network, with 175 branches remaining after closures.
TSB is also opening two new "Pods" in local communities and a pop-up service in six locations to provide face-to-face support and help with digital banking. In February, the bank set aside £29 million for cost-saving initiatives aimed at simplifying operations and improving efficiency.
