Tuesday, 9 June 2015

HSBC closing branches

HCBC hasn't provided full details on the number of UK branch closures it plans as part of its cost-cutting programme between now until 2017.

However, the bank says in today's statement that it envisages having 12% fewer branches and 20% less square feet in its top 7 markets.

The UK is one of those top 7.

Currently HSBC has 1,057 UK branches, employing anything from 2 to 50 people in each one.

47 were cut in 2013, 65 last year and 20 so far in 2015. 23 closures are already planned later this year.

So we have already seen 132 closures in little more than a year.

Another 12% would work out at roughly 127 more closures.

How far could it go? All the major retail banks are taking a long hard look at their branch networks.

The boss of the reborn TSB suggested that 700 branches would be a "sweet spot" for British banks.

TSB inherited 631 branches from Lloyds and is actually opening a few.

But if the bigger High Street banks axed branches to get down to TSB's level, the closures would just go on and on.

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