Alliance & Leicester (A&L) is to close 46 branches because of the increasing popularity of internet and telephone banking, it emerged today.
More than 300 staff – including 111 full-time workers – will be affected by the closures, which will take effect from 1 October.
The group, which has 300 branches across the UK, said 80% of retail banking transactions were now processed without direct contact with a member of staff.
A&L said a strong branch network remained an important part of its business with £35m due to be invested in its high street facilities over the next three years.
However, it pointed out that the 46 branches being closed only accounted for 3% of total sales of mortgages, personal loans and current accounts – even though they represented 15% of the total branch network.
Chief executive Richard Pym said it was important A&L concentrated its investment on channels that customers preferred to use.
He added: “Times are changing, British banking customers are not visiting their branches every week or even every month.
“They are finding it more convenient to use the telephone, the internet and cash machines for regular transactions and are increasingly looking at branches as places for more complex issues.”
The company said it would look to redeploy as many staff as possible, with the rest offered redundancy and specialist support.
References: EGi News 16/06/04
