In a significant restructuring move, Santander has announced plans to close 95 branches across the UK, including its branch in Surrey Quays, marking a shift in their approach to customer service and responses to changing banking habits.
The Surrey Quays branch, situated in the Shopping Centre on Redriff Road, will close its doors for the last time this summer, part of a broader initiative starting in June 2025. This decision is in response to a trend where most customers are choosing to conduct their banking online, leading the bank to reassess its physical presence in various communities.
Other notable London branches earmarked for closure include those in Brixton, North End Croydon, Edgware Road, Eltham, Finchley, Greenford, Hackney, Holloway, Kilburn, Ruislip, Sidcup, and Tottenham. The decision affects approximately 750 employees across all locations.
To mitigate the impact, Santander plans to implement what they are calling the Santander Community Bankers initiative. These representatives will provide in-person financial support in local communities, visiting on a weekly basis and also offering assistance at local Banking Hubs.
In addition to the closures, Santander aims to modify the format of several branches, introducing 18 that will be counter-free and 36 that will operate with reduced hours. The remaining locations will consist of 290 full-service branches, supplemented by five newly established Work Cafés. These cafés, which Santander is expanding globally, will offer co-working spaces, superfast Wi-Fi, and facilities for community events, accessible to both customers and the general public.
As part of the branch investment program, Santander applied tens of millions of pounds over the last two years to refurbish 99 branches. Another 50 are scheduled to be updated in the following year. These refurbished sites include self-serve rooms, promoting both privacy and access to digital tools.
While the initiative reflects changing consumer preferences, it also placed many employees at a crossroads, with approximately 750 colleagues projected to be at risk of redundancy due to the proposals. Santander has assured support for affected staff, helping them find redeployment opportunities within the company and offering comprehensive wellbeing resources.
A spokesperson for Santander UK stated, “As customer behavior changes, we are ensuring that our branches remain fit for the future. Our new combination of full-service branches, alongside Work Cafés, counter-free branches, and reduced hours branches, aims to provide the right balance between digital banking and face-to-face money management and guidance.”
Following these changes, 93% of the UK population will still have access to a Santander branch within 10 miles. Furthermore, customers can utilize one of over 11,000 Post Office branches or 112 Banking Hubs to perform their banking needs. All closing branches are within a mile of the nearest Post Office, facilitating the transition for customers who require physical banking services.
In a related announcement, Labour MP Irene Campbell voiced her disappointment over the closure of Santander's Saltcoats branch, categorizing it as a loss for her constituency where only one bank would remain operational thereafter. Expressing her concerns for constituents reliant on in-person services, she pointed out the alarming trend of disappearing local banks, stating, “I am very shocked and disappointed to hear the news about Santander planning to close their Saltcoats branch later this year.”
She outlined that temporary banking services are becoming inadequate for many local residents, pushing an urgent need for formulating alternative banking solutions that adhere to the varying needs of the community. The petition has been launched in Holywell where residents also face a similar fate with the closure of their last local bank, following closures of other banking institutions in the area.
Additionally, Camborne, Falmouth, and Launceston are among the Cornish branches slated for closure, further intensifying local banking concerns. As the landscape changes, some constituents wonder how they will manage their finances without in-person support. A local resident in St Austell expressed, “Closing a branch is always a very difficult decision.”
Since 2019, in-branch transactions have dwindled by 61%, showcasing the rapid evolution of banking preferences. The shift not only raises questions about access to finances for those who depend on physical locations but also highlights the broader implications of a traditionally robust high street banking model being replaced by digital alternatives.
This transition is underscored by Santander's commitment to modernizing its infrastructure with significant investments, aiming not merely to adapt but to thrive in a progressively digital banking environment.
As the changes unfold, Santander also commits to proactively reach out to vulnerable customers, ensuring they understand the alterations taking place and assisting them with new banking routes through phone contact and personal consultations.
The commitment to improving the banking experience is encapsulated in their planned rollout of community banker initiatives and the expansion of their hybrid services, ensuring that support within local communities does not diminish despite physical branch closures.
