Santander UK to Close 95 Branches Restructuring Network and Jobs at Risk

Santander UK has announced plans to close 95 branches across the country as part of a restructuring strategy, a move expected to put approximately 750 jobs at risk. The closures, starting in June, will reduce the bank’s network to 349 branches from the current total of 444. This includes 290 full-service locations, five work cafés, and 18 branches that will operate entirely counter-free, alongside 36 with reduced hours.

The decision reflects a shift in customer behaviour towards digital banking services, according to the company. A Santander UK spokesperson stated that the organisation is working to ensure its branches remain relevant for the future while minimising the impact of closures on customers. The bank also highlighted that 93 percent of the population will still remain within 10 miles of a Santander branch, supported by access to over 11,000 post office locations and 112 shared banking hubs.

While the bank described the decision as difficult, it emphasised that extensive assessments were carried out to determine where and when closures would occur. The affected branches are all located within a one-mile radius of alternative post office services.

The announcement comes amid challenging times for the high street lender. Last month, Santander UK reported a 38 percent drop in pre-tax profits for the full year, with figures falling to £1.3 billion. This decline was partly attributed to a £295 million provision set aside to address the fallout from an industry scandal involving mis-sold car loans.

The car finance scandal has significantly affected British lenders, spurring speculation that the sector could face tens of billions of pounds in customer redress. However, Ana Botín, Executive Chair of Santander’s parent company, has rejected the notion of the bank leaving the UK market, emphasising that it remains a core focus for the group.

Looking ahead, Santander UK aims to balance its digital banking strategy with maintaining services for customers who prefer face-to-face financial advice. The consultation process with unions regarding the restructuring plans is ongoing.