Banks have closed more than one in three branches in the past five years

UK banks have closed more than one in three branches over the past five years, according to an analysis report by the Financial Times.

The data shows that Lloyds, NatWest, Halifax and Bank of Scotland are set to close another 113 branches before the end of November.

The number of bank, building society and credit union branches in the UK fell to 6,870 in 2024, a 34 per cent fall on the 10,410 in 2019. Last year alone saw a 10.4 per cent decline.

Following the closures last year, banks agreed to set up 350 hubs on UK high streets by 2029, to be operated by the Post Office.

Alastair Douglas, CEO of TotallyMoney, said “For some, the cost of living has put a greater importance on cash, as they use it to help with everyday budgeting, and not overspending. However, with more than 6,000 banks closing in a decade, it’s becoming harder for some vulnerable people to manage their money.

“In part this is being driven by digitalisation and the growth of mobile banking, but it also benefits the banks’ bottom line. Plans to set up 350 high street hubs by 2029 might sound good on paper, but not when 112 are set to close by the end of this year. And that’s why it’s important that the banks act in the interest of their customers and invest in providing a better service that leaves nobody behind.”