Santander says 750 jobs at risk as it pursues UK branch closures
The British unit of Spanish lender Banco Santander announced on Wednesday that 750 of its staff members are at risk of redundancy as the bank plans to close 95 branches in the U.K. This decision is part of Santander UK’s strategy to modernize its presence by June 2025, reducing its branch network to 349 locations.
According to a Santander UK spokesperson, the bank carefully evaluates the impact of branch closures on customers before making such difficult decisions. The shift towards digital banking has been a significant factor in the bank’s decision, with a 63% increase in digital transactions compared to a 61% decline in physical branch visits since 2019.
Santander is currently in talks with unions regarding the proposed changes, as the bank employs approximately 18,000 full-time staff in the U.K. The future of Santander’s international operations has been the subject of speculation, with reports suggesting a possible exit from the U.K. market. However, a Santander spokesperson reiterated that the U.K. remains a core market for the bank.
In a recent interview, Santander CEO Hector Grisi mentioned plans to cut more than 1,400 jobs in the U.K. as part of a cost-cutting initiative. The bank has also set aside £295 million ($382.7 million) to cover potential payouts related to a regulatory investigation into motor finance commissions.
Despite challenges in the U.K. market, Santander reported record profits in the fourth quarter, with plans for significant share buybacks in the coming years. The bank remains committed to its operations in the U.K. and is focused on delivering value to its shareholders and customers.
Overall, Santander’s decision to streamline its branch network and focus on digital banking reflects the changing landscape of the financial industry. As the bank navigates these transitions, it remains dedicated to serving its customers and maintaining its presence in key markets.
