TSB to shut branches as customers increasingly online

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TSB acting chief executive Gordon Davidson said more customers were banking digitally,.
Photo: RNZ / Cole Eastham-Farrelly

New Plymouth-based TSB Bank is to shut seven branches around the country because of falling usage.

Acting chief executive Gordon Davidson said more customers were banking digitally, and TSB needed to restructure.

The branches to close were Opunake and Eltham in Taranaki, Newmarket and NorthWest in Auckland, Napier, Nelson and Palmerston North.

“Like all banks, we’re seeing more customers choose to bank online rather than in person, and with that, their expectations of digital products and services are quickly evolving,” Davidson said.

“The changes we’re making to how we operate, which include some changes to our branch network, will enable us to put further investment and focus into developing smarter products to better meet our customers’ needs. ”

TSB had 25 branches, about half of which were in Taranaki.

The number of jobs being lost was unknown, TSB saying it was looking to redeploy staff where possible.

“We recognise that any change can be difficult, Davidson said. “These decisions have not been made lightly, and we’re working hard to ensure our people and customers are proactively informed and supported. ”

The annual Consumer NZ banking survey, released in April, ranked TSB one of the top two performing banks in terms of customer service – with the Cooperative Bank – ahead of the bigger Australian-owned banks.