May 19, 2024


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TSB to close 36 bank branches, cut 250 jobs

2 min read
TSB to close 36 bank branches, cut 250 jobs

TSB, the UK banking group, has announced it will be closing 36 branches and cutting 250 jobs. Areas targeted by the cuts will include fraud operations, central operations, and the staff at the closing branches.

Branch closures will begin in September this year and continue into May of next year, and it is expected that the job cuts at branches will follow suit.

The cuts to TSB’s fraud department is surprising, considering the rise of fraud across banking. UK banking firms may be employing AI to fight fraud, but they are also increasingly concerned on how threat actors will employ AI and deepfakes to commit fraud.

The decision to cut branches, however, is in line with banks across the UK which continually close bank branches as more and more turn to digital banking. However, this often leaves digitally excluded people without a way to access vital banking services.

TSB has said that the local branches chosen for closure did not have enough customers using them.

In-branch banking has fallen 43% over the past four years, with about 96% of all banking transactions taking place outside a branch.

“The decision to close a branch is never taken lightly, but our customers are now doing most of their banking digitally and we need to move to a better balance of digital and face-to-face services,” a spokesperson for TSB said.

“We remain committed to a national branch network and through innovation and integration with video, telephone, digital, branch and other face-to-face services TSB customers have more ways to bank with us than ever before.”

After this round of closures, TSB will have a total of 175 branches left in the UK.

Unite, a trade union representing many bank workers, has called the closures a ‘grave mistake’.

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“These workers perform essential work in the fraud departments and across the branch network,” regional officer for Unite, Andy Case, said.

“Through extensive negotiations Unite has been able to substantially reduce the number of jobs at risk.”

The negotiations were not sufficient, Case said, however, and the union is still pressing TSB to reconsider the cuts and closures.

TSB did say that it would be opening two banking “pods” in local communities where customers can speak with an expert to help them with online and mobile banking, as well as deposit or withdraw cash.

Six pop-up locations will also be added in lieu of the 36 branches, where customers can access in-person support for banking needs.

However, this still may leave many digitally excluded people out in the lurch without more in-person bank services.


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