23 February 2017
Visit dh.com

Banco Santander plans £300m cost cuts at Abbey

26 July 2004  |  8711 views  |  0 abbey hq

Spain's Banco Santander Central Hispanico, the bank that is taking over Abbey in an £8.5bn deal, has disclosed details of a three year cost cutting plan which includes a reduction in middle and back office processing at the UK bank.

In a document disclosing details of the merger, Banco Santander says it plans to reduce costs at Abbey by £300m a year, mainly through cut-backs in technology, although the Spanish bank did not specify how many jobs would be axed.

The Spanish bank says it expects to make "significant savings" in IT by eliminating any duplicate systems and projects at Abbey that overlap with its own.

Banco Santander also states that it plans to invest in customer facing areas whilst extracting maximum efficiency from the back office. Cost savings that will start to materialise from 2007 onwards will be based on a thorough re-engineering of Abbey's core systems and processes and will result in significant reductions in the size of middle and back-office processing areas, improved productivity in branches and improved use of IT infrastructure.

The takeover of Abbey will make Banco Santander the world's 10th biggest bank by market value and the fourth largest in Europe.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Abbey to spend £200m on branch revamp

Abbey to spend £200m on branch revamp

19 July 2004  |  5526 views  |  0 comments
Abbey and EDS review mortgage joint venture - The Register

Abbey and EDS review mortgage joint venture - The Register

04 May 2004  |  4987 views  |  0 comments
Abbey rolls out NetEconomy anti-money laundering software

Abbey rolls out NetEconomy anti-money laundering software

26 April 2004  |  5799 views  |  0 comments
Abbey live with Infomediary outsourcing platform

Abbey live with Infomediary outsourcing platform

14 April 2004  |  4001 views  |  0 comments
Abbey knew Edinburgh staff wouldn't move - Amicus

Abbey knew Edinburgh staff wouldn't move - Amicus

16 January 2004  |  4014 views  |  0 comments
Abbey to move 400 call centre jobs to India

Abbey to move 400 call centre jobs to India

14 January 2004  |  9836 views  |  0 comments
Abbey National Asset Managers tipped for outsourcing

Abbey National Asset Managers tipped for outsourcing

13 January 2004  |  4781 views  |  0 comments
Abbey commissions Getronics for EUR40 million branch refit

Abbey commissions Getronics for EUR40 million branch refit

15 December 2003  |  4236 views  |  0 comments
FSA fines Abbey £2.3 million for money laundering failures

FSA fines Abbey £2.3 million for money laundering failures

10 December 2003  |  13431 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit dh.com

Top topics

Most viewed Most shared
IBM and Visa join forces to turn billions of connected devices into points of saleIBM and Visa join forces to turn billions...
19154 views 11 comments | 56 tweets | 92 linkedin
hands typing furiouslyBlockchain Technology
11901 views 1 | 12 tweets | 5 linkedin
EBA to relax controversial PSD2 authentication rulesEBA to relax controversial PSD2 authentica...
10637 views comments | 50 tweets | 67 linkedin
RBS to become fintech fund and high street outlet for challenger banks under HMT remedyRBS to become fintech fund and high street...
7758 views comments | 37 tweets | 33 linkedin
Standard Chartered connects corporate customers to WeChatStandard Chartered connects corporate cust...
6153 views comments | 17 tweets | 19 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job