Banks have spent decades closing branches to cut costs and compete with digital fintechs, but some are now reversing course by opening new outlets.
UK banks have aggressively reduced their high-street presence, with around 4,000 branches remaining — an 80% drop over 40 years. Barclays, once among the most aggressive closers (shrinking from nearly 1,000 branches in 2019 to 206), recently declared itself "the first large bank that's opened a branch in about a decade" with new locations in Bishop's Stortford and Poole.
In the US, the trend has been underway longer. JPMorgan Chase plans 500 new branches, while Bank of America announced 150 new financial centers. PNC is adding 300 branches. Smaller operators like Handelsbanken and Metrobank continue expanding, with the former operating 120 UK outlets.
Institutions are transforming branches into advisory hubs rather than cash transaction centers, aiming to deepen customer relationships and sell higher-value products. New UK regulations allowing broader investment advice may further boost branch-based services.
Source: Financial Times Companies · Summarized by HeadlinesBriefing