A major high street bank, Santander UK, has announced plans to close 95 of its branches across the United Kingdom as part of a significant restructuring strategy aimed at adapting to changing consumer behavior. This decision, made public on March 19, 2025, comes at a time when many banks are shifting towards digital banking, leading to about 750 jobs being at risk within the bank's workforce of approximately 18,000 employees.
Currently, Santander operates 444 branches, but after the closures, it will reduce its network to 349 branches, including 290 that will remain as full-service locations. Moreover, 36 branches are set to operate reduced hours, while 18 will become counter-free. The bank's move to close branches responds to a marked increase in digital transactions, which saw a 63% rise since 2019, contrasted with a stark 61% drop in branch transactions over the same period.
A spokesperson from Santander stated, “As customer behaviour changes, we are ensuring that our branches remain fit for the future. Our new combination of full-service branches, alongside work cafes, counter-free branches and reduced hours branches, aims to provide the right balance between digital banking and face-to-face money management and guidance.” The bank is committed to making the transition as smooth as possible for its customers amidst these changes.
With the onset of this restructuring, the affected branches will close starting from June 2025. The closures include several locations across the UK, and the full list of branches set to shut down has already been detailed in various reports. One notable closure will occur in Aberdare on June 24, 2025, followed by others like Arbroath on June 17, 2025, and Brixton on August 11, 2025. Meanwhile, those branches that are remaining will adopt reduced operating hours.
The reduced-hours branches will be open on specific days either from 9:30 AM to 3 PM or will have adjusted Saturday hours. For example, most branches will be accessible just three days a week, while the exceptional Caerphilly branch will have a tailored schedule to continue providing services.
Additionally, Santander will introduce five new Work Cafes where customers can engage in a hybrid banking experience. These spaces will offer co-working opportunities, complete with access to high-speed WiFi and dedicated event spaces, encouraging a community-focused banking environment.
Beyond the branch closures, Santander is set to implement a new network of community bankers who will provide face-to-face money management and general banking support by visiting local communities on a weekly basis. This initiative aims to maintain customer service levels despite the reduction in physical branches. The bank will also reach out to potentially vulnerable customers to notify them of these changes and to discuss alternative banking methods that suit their needs.
More Change on the Horizon
Experts have expressed concerns over the closures and their implications for local consumers. Jenny Ross, the money editor at the consumer group Which?, remarked, “This is a real blow to many customers. Schemes introduced by the banking industry to protect these services... must be rolled out much more quickly if consumers are to feel their benefits.” She emphasised the need for the government to ensure that banks comply with commitments made to improve local banking services.
In their bid to assist customers during this transition, Santander is also ensuring that customers remain within reach of banking services, claiming that 93% of the UK population will still be within 10 miles of a branch even after the closures. Options such as banking at Post Offices are encouraged for transactions, especially for those requiring cash withdrawals or deposits. Despite the shift towards digital channels, Santander assures that it is committed to providing options that suit all customers' preferences.
As traditional banks streamline their services amid falling demand for in-person visits and the rise of online banking, philanthropic banking initiatives and community banker roles aim to bridge the gaps left by closed branches. It remains to be seen how effective these measures will be in addressing customer needs in the coming months.
The significant branch closure announcement by Santander UK marks a critical point in the ongoing evolution of the banking industry in the UK, reflecting broader trends of digital transformation and the necessity for classic banking institutions to adapt promptly to maintain relevance in a fast-changing landscape.
Customers worried about how the changes will affect them can call Santander’s dedicated phone line at 0330 678 2469 for assistance and information.
