Latest bank closures will hit older & vulnerable customers hardest

Age Scotland is appalled by TSB’s latest announcement that it will close almost half its Scottish branches, saying it will leave older, vulnerable customers out in the cold.

The bank announced today that 73 branches would close in Scotland out of a total of 151. TSB blamed low footfall and a rise in customers using online services, with many of the closures in rural communities.

The announcement follows its decision to cut opening hours at 71 branches last year, with those affected only open two or three days a week. Many have been shuttered completely since the beginning of the pandemic.

Brian Sloan, Chief Executive of Age Scotland: “We’re appalled by this latest round of closures, which will undoubtedly hit older and vulnerable customers hardest. The disappearance of almost half TSB’s Scottish branches will inevitably lead to banking deserts and make it harder for customers to manage their money.

“Those who rely on branches most tend to be older, disadvantaged, or on low incomes, and may not find it easy to travel to the next town to do their banking.

“The relentless push towards online or telephone banking may be convenient for many, but it doesn’t suit everyone. We estimate almost half a million people over 60 don’t use the internet, with the highest numbers in the most deprived areas. By turning its back on them, TSB clearly seems to be putting its profits before its customers.

“Last year, TSB assured us that the reduction in opening hours at many Scottish branches would not be a prelude to closures. Unfortunately, that now looks like it is the case.

“It’s understandable that footfall fell during the pandemic, as customers avoided visiting their local bank unless absolutely necessary. But that doesn’t mean that the longer-term demand isn’t there. Now it looks like many branches that TSB temporarily closed will never reopen their doors.

“We are urging banks to consider the needs of all their customers and not leave older people out in the cold. Instead of closing branches, they could look at creative solutions such as shared branches, with several banks sharing the cost of staff and premises.”

Note: According to the most recent Scottish Household Survey, 34 per cent of people over 60 don't use the internet, rising to 49 per cent in the most deprived areas.