100 UK bank branches to close
LONDON, England -- The Australian owner of two historic regional British banks has announced plans to close 100 branches in the UK.
National Australia Bank (NAB) said 60 branches of the Glasgow-based Clydesdale Bank and 40 Yorkshire Bank branches would be closed within the next 18 months.
NAB outlined the plans to cut costs and 4,200 jobs from its Australian and UK operations as it revealed its half-year financial results.
The bank announced in March that up to 1,700 jobs were to be axed in the UK as it looked to save up to £117 million ($220 million) a year at the Clydesdale and Yorkshire banks.
NAB chief executive John Stewart said the closures were "in response to the changing needs of our customers."
"Our research has shown that in any one month 75 percent of our customers do not use a branch at all, and 11 percent use a branch only once.
"This is about providing our customers with the appropriate network for their needs."
Clydesdale was founded in 1838 and has 217 branches, while the Yorkshire, run in Leeds, north England, dates back to 1859 and has 232 branches, the UK's Press Association said.
The Australian bank acquired both businesses in the late 1980s.
NAB carried out a review of its UK arm after offloading its Irish business -- Northern and National Irish Bank -- earlier this year.
It recently opened 15 Clydesdale-branded financial solution centers for small and medium-sized businesses in southeast England.
A further 15 centers will open in the region by the end of the year, and the company has plans to introduce 40 similar sites in the north of England and Scotland.
The bank also aims to invest heavily in 50 "flagship" branches.
