Santander is set to shut down 44 bank branches as part of a restructuring of its retail network, a move that places 291 jobs at risk. The banking giant cited changing customer behavior, with more clients opting for online banking services.

The closed branches will be substituted by a weekly Santander Local service that will operate in locations such as libraries, community centers, and Banking Hub counters at Post Offices. The company mentioned that about 291 employees could face redundancy following the completion of consultations with unions, but affected staff will have redeployment opportunities.

After the adjustments, Santander’s branch network will comprise 305 branches, including 244 full-service branches, 19 counter-free branches, 36 reduced-hour branches, and six Work Cafés, in addition to 111 Santander Locals. The bank has witnessed a significant surge in online banking usage, with 96% of transactions now conducted digitally.

Digital transactions have surged by 64% since 2019, while financial transactions done in branches have decreased by 66% during the same period. Over the past year, there has been a 13% drop in the number of financial transactions taking place in bank branches, according to Santander.

A spokesperson for Santander UK stated, “In response to the substantial shift towards digital banking by customers, we are modifying our branches to enhance customer support. We will continue to invest in our branch network, including full-service branches, counter-free branches, reduced-hour branches, Santander Locals, and Work Cafés, along with digital banking services, to cater to customers’ banking preferences.”

Santander plans to reach out to all potentially affected customers via phone to assist them in finding alternative branches or accessing digital, telephone, and Post Office banking services.