FINANCIAL services experts have applauded Nationwide’s decision to extend its branch promise for another two years.
With more and more banks slashing their high street presence, removing a key face-to-face service for many, from the elderly to students, as well as impacting retailers, Nationwide has announced that it will continue to keep every one of its 696 Nationwide and Virgin Money branches open until at least 2030.
The new commitment, which extends its existing Branch Promise by at least another two years, applies even when a Nationwide branch and a Virgin Money branch are close to each other.
Nationwide’s move comes as other banks continue their bank branch closure programmes, the largest in UK history. Figures from consumer group, Which? show 6,561 branches have been closed since January 2015.
In the six months to the end of September, Nationwide says over a third of its current accounts and over a fifth of its savings accounts were opened in branch.
Dame Debbie Crosbie DBE, Group Chief Executive at Nationwide, said:“Our customers can be confident that they can bank with us whichever way they choose. Branches are important to our customers, to communities, and to the health of our High Streets. That’s why Nationwide will continue to keep branches open in addition to our investment in online and telephone channels.”
Emma Jones, Managing Director at Runcorn-based Whenthebanksaysno.co.uk, welcomed the news: “In the digital age, it’s easy to forget that many people, especially the elderly and students opening bank accounts, prefer the analogue route when it comes to money.
“For the elderly, there’s a social element, too. That daily or weekly trip to the bank is part of their lives and, with many banks pulling out of the high street altogether, it’s being removed.
“Retailers also suffer when banks retreat from the high street, as there is less footfall. Well done, Nationwide for keeping the bank branch at the heart of communities.”
Omer Mehmet, Managing Director at Welling-based Trinity Finance, said it’s “easy to forget the societal impact of banks leaving the high street at scale”.
He continued: “For so long, they have been part of the fabric of so many people’s lives. Local shops lose out when banks close their doors while the elderly in particular lose a service they have relied on for decades. It’s encouraging to see the Nationwide extend its branch commitment to 2030.”
Ben Perks, Managing Director at Stourbridge-based Orchard Financial Advisers, said Nationwide was bucking the trend: “The bank branch has been banished throughout Britain and it’s great to see Nationwide bucking the trend. Many people rely on their local branch and the staff support, so they are a useful resource that needs to remain.”
Justin Moy, Managing Director at Chelmsford-based EHF Mortgages, said a high street presence is key when people need help: “Keeping the branch network visible in the high street is so important to reassure both personal and business customers who rely upon local staff and counter services regularly.
“Online banking is extremely convenient, but the moment you need help or support, the ability to pop into a local branch is so beneficial to all.
“With the planned rejuvenation of high streets across the UK, what better sight than Nationwide or Virgin as the pillar of the local community.”
