UK Bank Branch Closures Slow as New Openings and Extended Services Signal Return to High Street
Since 2015, more than 6,000 UK bank branches have closed as banks cut costs and encouraged customers to use online services. However, the pace of closures is slowing, with new branches opening and existing ones extending their services.
HSBC UK has pledged to keep all 327 of its branches open until at least 2027. Barclays has extended opening hours at about 87 of its approximately 200 branches. Metro Bank opened three new locations in Gateshead, Chester, and Salford. Newcastle Building Society also invested in a Grade II listed building to open a branch in Newcastle city centre.
Nationwide has committed to maintaining 696 branches open until at least 2030, which includes the Virgin Money Northampton branch acquired through Nationwide’s £2.9bn takeover in 2024.
Research by KPMG indicates that a fifth of UK customers had not visited a branch in the previous two years. Interestingly, people aged 18–24 accounted for 72% of branch visits, surpassing those aged 65 and over. Despite this, banking hubs that primarily offer simple transactions often lack personal service; 72% of UK individuals have never visited such hubs.
Analysts suggest that bank branches will increasingly focus on providing high-value advisory services while encouraging self-service for everyday banking tasks. The use of AI is expected to automate back-office work, potentially enabling more face-to-face interactions. The current slowdown in closures may be temporary rather than a final end to branch presence on British high streets.
