TSB is to shutter a third of its branch network and layoff 900 staff, citing a shift in customer behviour as users shun the high street in favour of remote banking services.
The UK bank intends to close 164 of its branches, in addition to 21 closures already announced, shrinking the network from 475 outlets to just 290.
TSB says branches earmarked for closure have been selected to ensure 94% of customers can travel in 20 minutes or less to a branch, and the new network will have an average of 17,000 customers per site. In addition, it is strengthening its relationship with the Post Office, adding the ability to deposit and withdraw cash over the counter, and introducing 100 roving mobile advisors to reach communities outside the network.
TSB chief Debbie Crosbie, says: “Closing any of our branches is never an easy decision, but our customers are banking differently - with a marked shift to digital banking.
“We are reshaping our business to transform the customer experience and set us up for the future. This means having the right balance between branches on the high street and our digital platforms, enabling us to offer the very best experience for our personal and business customers across the UK.
The programme will see 969 jobs cut while 120 new operational positions are being created, resulting in an overall net reduction of 849 roles.
Changes are being made across the branch network, and in mortgages and customer service operations teams. The bank expects the majority of job losses to come through voluntary redundancy.
Labour union Unite branded the announcement as a 'dark day for the finance sector'.
Unite national officer Dominic Hook says: "It beggars belief that just seven years ago TSB had 631 local branches and this announcement will reduce that number to merely 290 branches. "