TSB reduces branch network by a third and loses 900 jobs

eskbanker

https://www.tsb.co.uk/news-releases/tsb-announces-branch-network-changes-2020/

Unsurprisingly for a press release, it has plenty of spin, but some of it seems positively desperate:

Following these changes, TSB will have the 7th largest branch network in the UK. TSB will have more branches than Virgin Money and Coop Bank combined, around four times as many as South-East focused Metro

TSB’s digital service continues to be stable (currently ranked 19 out of 30 banks in the FCA’s latest IT outage report, with number 1 having the highest number of incidents)

TSB inherited its branch network in 2013 and it includes a number of locations where it is difficult to deliver the modern branch service customers expect today

Shakin_Steve

I can't get away from the vision of the Trustee Savings Bank I used to take my pennies into once a month in the sixties, and have the nice lady write in my bank book. Has it changed much?

Thrugelmir

The "spin" helps keep matters in perspective. Once free of the EU no doubt will see some of the forced demergers reversed. Made no commercial sense given the advent of digital banking. 

WillPS

Thrugelmir said:

The "spin" helps keep matters in perspective. Once free of the EU no doubt will see some of the forced demergers reversed. Made no commercial sense given the advent of digital banking. 

I'm not sure why you'd cheerlead such a thing (as far as switching/joining incentives go, it'd be at least one less), but surely such a reversal would require a hypothetical future where Sabadell would want to sell, Lloyds would have to want to buy and be the leading bidder and the CMA be complicit with such a merger... not really the straight forward maneuver you seem to think it would be.

veryintrigued

It's the sister act to the new 'Spend and save' accounts.

I.e.

'Slash and burn' branches.

I guess we can assume they aren't going to be launching any accounts you have to visit a branch (like they did do a few years ago) in the near future!

Yorkshire_Pud

There was an ITV evening news item on this branch closure policy by tsb. It seems that a few years ago tsb was trumpeting it’s commitment to keeping their branch network intact whilst other banks had a vigorous closure campaign.

Economic reality with a new ceo doing what needs to be done. Asset stripping itself whilst withdrawing the only account that had real appeal, the Classic Plus and introducing a Mickey Mouse account the spend and save current account with its savings ‘pots’ that qualify for interest at 0.04% but that includes a twelve month bonus of 0.03% wow! So you get no interest to speak of at either derisory rate and you have money in different areas of the same account which is a disadvantage because there may not be enough to cover outgoings when spread around, might as well all be in the same area i.e. just a current account that pays no interest and isn’t anything special in a bank that will probably close your local branch soon (they closed mine recently).

I expect them to put what’s left of their bank up for sale next year after they’ve asset stripped themselves.A bank without personality or any reason to be with them apart from the odd £50 account opening offer (if their chosen cashback site Quidco don’t try and steal it off you after you’ve done all the work and adhered to all the t&c courtesy of Transaction Integrity Manager it’s a thing lol!).

Silvertabby

We were switched from Lloyds to TSB as part of the last shake up.  

To be fair, we haven't had that many problems with our on-line accounts, and are hoping that our branch isn't for the chop.  The thing we like about the TSB (as opposed to Lloyds) is that when we need to go into the bank for any reason we won't be hammered with 'let me make an appointment for you with our investment manager/mortgage adviser/loans adviser.

Losing the benefits of the Classic Plus is annoying - but none of the other banks are offering enough to make us want to go through the faff of changing.

Gers

My lovely little branch, with only three very friendly staff who greet every customer by their name, is closing.  Such a shame, especially given that access to any branches has been restricted for six months and cash withdrawals not encouraged so all the figures which support 'lack of customer engagement' are skewed.  Could be the way of it anyway. 

WillPS

Yorkshire_Pud said:

There was an ITV evening news item on this branch closure policy by tsb. It seems that a few years ago tsb was trumpeting it’s commitment to keeping their branch network intact whilst other banks had a vigorous closure campaign.

Indeed, the talk at the time was about expanding the branch network, but in fairness that was an age when the main upstart challenger were Virgin Money & Metro Bank, both of who's big sell was based on their branch experience,

Whatever the truth of the talk was, at the point Sabadell took over the trajectory changed, and now their aspiration is seemingly more like an offer to compete with Tandem, Starling and Monzo.

JezR

Lloyds did pad out TSB somewhat with a number of their 'secondary' low-performing and unmodernised branches and it is surprising that apparently some of these made it past the last closure round.

gbhxu

Here is the list of closing branches according to The Mirror
https://www.mirror.co.uk/money/full-list-164-tsb-branches-22769985