Santander has made a commitment to keep all its bank branches open until at least 2028, including those acquired from TSB. The bank recently finalized its acquisition of TSB for £2.65 billion. Despite this, Santander has identified 44 branches for closure this year, which puts 291 jobs at risk. Following these closures, there will be 305 Santander branches and 175 TSB branches remaining in the UK.
In its latest half-year results, Santander reported a 31% decrease in pre-tax profits to £528 million for the six months ending on June 30. The bank also disclosed that it has allocated an additional £179 million to cover expenses related to the car finance mis-selling issue, which is facing delays due to legal disputes. Furthermore, Santander noted an increase of £173 million in bad debt charges due to a deteriorating economic forecast in 2026, influenced by the Iran war and the TSB acquisition.
Despite these challenges, Santander aims to achieve savings of at least £400 million by the end of 2028 by leveraging artificial intelligence (AI) and automation. Mahesh Aditya, the CEO of Santander UK, emphasized the importance of branches in the bank’s strategy. He stated that there are no plans to close any additional Santander or TSB branches before 2028, highlighting the bank’s commitment to enhancing digital services while providing personalized customer support.
Recently, Santander introduced a new regular saver account offering an 8% interest rate on savings up to £200 per month. The account includes a 5% variable bonus for the initial 12 months, after which it reverts to a variable rate of 3%. This account is accessible to all Santander current account holders, with a minimum balance requirement of £1 and limited to one account per customer.
Santander’s efforts to maintain branch networks and enhance digital offerings align with its goal of becoming the premier banking choice for customers in the UK.