HSBC to close 27 branches
Cost-cutting is part of a decision to axe 35,000 jobs globally as the bank looks to make ‘meaningful’ reductions in the UK
HSBC is to shut 27 branches this year, putting almost 50 jobs at risk. The bank, which announced last week it would cut 35,000 jobs around the world, including “meaningful” reductions in the UK, said it would invest almost £34m in its remaining network of 594 branches, 49 of which are to be refurbished this year.
Staff across 10 locations, which employ 46 people between them, could face losing their jobs while those in the remaining 17 branches will be relocated, HSBC said yesterday. It pointed to falling use of its branches as the reason behind the closures. Only one in every 100 cash withdrawals are made in branch at an HSBC while nine in 10 customer interactions are over the phone, online or via an app.
“Retaining a sustainable branch network is extremely important to us and we need to ensure it is fit for the future, Stuart Haire, HSBC UK’s head of retail banking and wealth management, said. “But the way our customers bank with us has changed significantly over the last five to 10 years, and that change is something we cannot ignore.”
Branches in Bristol, London, Swindon and Leigh-on-Sea will be the first to go, with closures planned for July. HSBC customers will still be able to bank in Post Office branches across the country.
Mr Haire added: “Almost every industry is affected by similar behavioural change and needs to work hard to address that – newspapers used to be delivered by paper boys and girls, or a paper would be collected from a shop, and now most people consume their news online. Photographs that were once processed in a shop have now been replaced with digital cameras and online delivery.”
Last week, HSBC announced a major restructuring and £3.5bn cost-cutting plan as annual profits plunged by a third. The bank said it would shrink its sales, trading and equity research in Europe and shift resources to the Asian markets, which account for around half of HSBC’s revenue and 90 per cent of profits.
The branch closures where jobs are at risk:
*London Park Royal – to close on July 3
*Peterlee – July 10
*Chard – July 10
*Royston – July 10
*Tiverton – July 31
*Ely – July 31
*Pembroke – July 31
*Saffron Walden – July 31
*Thetford – to close later in 2020
*Bourne – to close later in 2020
The branch closures where jobs will be moved to nearby sites:
*Bristol Bedminster – to close on July 3
*Leigh-on-Sea – July 3
*Chingford – July 3
*Swindon Old Town – July 3
*Kensington High Street – July 3
*Blaby – July 10
*Leigh Bradshawgate – July 10
*Wallasey – July 10
*Pudsey – July 10
*Croydon Wellesley Road – July 31
*London Greenwich – to close later in 2020
*London Regent Street – to close later in 2020
*Redhill – to close later in 2020
*Sheffield Broomhill – to close later in 2020
*Cheltenham Bath Road – to close later in 2020
*Coventry Corporation Street – to close later in 2020
*Heswell – to close later in 2020
The branches set to be refurbished in the first half of 2020:
*East Ham
*Croydon North End
*Ealing Broadway
*Stratford Upon Avon
*Hammersmith
*Carmarthen
*Lewisham
*Cheltenham Promenade
*Blackburn
*Wembley
*Bristol Kingswood
*Wigan
*Corby
*122 Finchley Road
*Alton
*Cardiff Rhyd y Penau
*Castleford
*Hinckley
*Lowestoft
*Lymington
*Ormskirk
*Ramsgate
*Saxmundham