High street banking giant Santander has confirmed plans to close 44 branches across the United Kingdom, placing approximately 291 jobs at risk in the latest round of restructuring. This significant reduction follows the closure of 95 branches announced in March last year, which affected around 750 employees, highlighting a continued trend of physical branch consolidation.
Digital Shift Accelerates Branch Network Changes
The decision reflects a substantial and ongoing shift toward digital banking channels, with Santander reporting that 96 percent of all transactions are now completed through digital platforms. This rapid increase in online banking adoption has prompted the lender to realign its physical presence to better match changing customer behaviours.
Community Banking Alternatives to Replace Closed Branches
Santander has emphasised that the closure of traditional branches will be partially offset by the introduction of "community bankers" operating from Santander Local stores or shared banking hubs. This approach aims to maintain a local presence in communities while adapting to reduced footfall in conventional bank branches.
The latest closures will leave Santander with 244 full-service branches across the UK. Additionally, the bank will operate a diversified network including:
- 19 counter-free branches
- 36 reduced-hour branches
- 6 work cafes
- 111 Santander Local outlets
Continued Investment in Branch Refurbishment
Despite the branch closures, Santander has stressed its commitment to investing tens of millions of pounds into its remaining physical network. Over the past six years, the bank has refurbished more than 220 branch sites, with over 30 additional branches scheduled for refurbishment in the coming year.
A Santander spokeswoman stated: "In response to a continuing and sizeable shift towards customers using digital banking, we are making changes to our branches to better support our customers. We will continue to invest in both our branch network – comprising of full-service branches, counter-free branches, reduced-hour branches, Santander Locals, and our increasingly popular work cafes – as well as our digital banking services, so we can be there to support our customers however they choose to bank with us."
Broader Restructuring Context
This announcement comes less than a year after UK boss Mike Regnier revealed in July that Santander had cut around 2,000 roles over the previous year through an ongoing overhaul. Regnier indicated at the time that further job cuts were likely, suggesting the current reductions are part of a broader strategic realignment.
The Spain-based banking group continues to navigate the challenging landscape of high street banking, where digital transformation and changing customer preferences are driving fundamental changes to traditional branch networks across the industry.
