Yorkshire branches of HSBC among 62 to be axed

BANKING GIANT HSBC has announced plans to close 62 branches across the UK this year – including nine in Yorkshire.

The high street lender said it would be the only cut to its branch network that it would make in 2017, bringing its total number of UK branches to 625.

Francesca McDonagh, HSBC head of retail banking and wealth management for UK and Europe, said: “The decision to close these branches ensures a more sustainable branch network for the future as we continue to invest in our digital platforms and our people.”

The HSBC branches to close in the Yorkshire region are at Brigg, Easingwold, Hedon, Hemsworth, Kirkbymoorside, Leyburn, Stokesley, Thorne and Wath-Upon-Dearne.

The swingeing cuts to the branch network could trigger up to 180 job losses, but the bank said it would try and redeploy staff where possible.

HSBC has moved to slash back its branch network after seeing a rise in the number of customers using online banking.

It said 90 per cent of its interactions with customers now came through digital – an 80 per cent rise on last year – while the number of customers using HSBC branches has dropped by nearly 40 per cent in the past five years.

Ms McDonagh added: “The way our customers bank with us is changing. More customers are using mobile and internet banking than ever before, innovation such as Touch and Voice ID has proved extremely popular, and

fewer people are using branches. Ms McDonagh said the bank would offer customers “individual sessions” to help them bank with HSBC outside of the branch.

She said: “Our priority now is to work with our colleagues, our customers and the communities impacted by today’s announcement.”

In November, HSBC saw third quarter pre-tax profits tumble 86 per cent as it stomached a hefty hit from the disposal of its Brazilian business.

The banking giant said reported pre-tax profits hit $843m (£678m) in the three months to the end of September, down from $6.097bn (£4.905bn) over the period in 2015.

Antonio Simoes, chief executive of HSBC Bank, said the branch cuts would draw a line under the bank’s branch restructuring programme. He added: “We now feel we have the right branch network that complements the other ways in which customers now choose to interact with us.”

Unite union national officer Dominic Hook said the announcement made it a “dark day” for HSBC staff.

Mr Hook said: “Unite is deeply concerned that this large branch closure programme will be devastating not only for staff but also for the loyal HSBC customers who will lose their community branch.

“Unite is again calling on the banking industry to rethink such branch culling exercises.”