Clydesdale and Yorkshire Banks to close 40 more branches this year
This Is Money, 19.01.17
The owner of the Clydesdale and Yorkshire Bank brands confirmed it will close a further 40 branches this year.
CYBG said demand for electronic banking meant the number of customers using bank branches for day-to-day transactions across the industry had fallen by a third since 2011.
This year’s closure hit list includes branches in Leith, Stonehaven and Troon and follows the group’s announcement of a string of closures in September.
Gavin Opperman, Customer Banking Director at Clydesdale Bank, said: ‘While the decision to close any branch is never an easy one, it is important that we, in line with other banks operating in the UK market, continue to respond to changes in the way customers want to bank with us.
‘The changes announced today continue our journey towards a model that combines an enhanced digital platform with a right sized branch network; allowing customers to interact with us through a wide range of channels – mobile, online, telephone, in-branch – whenever and however they want.’
Over the next two years, the group plans to spend £350million on its online operations and ’embracing digital innovation.’
Union Unite said the planned branch closures this year, as well as those already announced last year, will lead to the loss of 400 jobs.
Rob MacGregor, Unite national officer: ‘Staff across the Clydesdale and Yorkshire Bank will be devastated to learn that 79 branches will close and consequently over 400 colleagues will lose their jobs.
‘Unite is clear that the closure of a third of the bank’s branches will not only be concerning for staff but the local communities which will see their bank branch close.
‘This cost cutting plan leaves customers with less choice for local banking.
‘The union has called on the bank to give a commitment to mitigate compulsory redundancies where possible and that they will reconsider closing any bank branches that are the last bank in a town.’
Shares in FTSE-250 listed CYBG are up 1.05 per cent or 3p to 290p.
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