Closure of Santander Banks

Debate between Mary Glindon and Angela Crawley

Thursday 7th February 2019 Commons Chamber

[Angela Crawley (Lanark and Hamilton East) (SNP)]

I thank those Members who have stayed behind for this important debate. The Lanark High Street branch of Santander is just one among 15 branches in Scotland that will be closing their doors. The Lanark branch will close on 4 July this year. That news has come as a shock to many of my constituents who rely on their local branch.

For the people and businesses in Lanark who depend on the face-to-face service they get in their local branch, especially those who are elderly, vulnerable, or live in the rural parts of Clydesdale, the nearest bank is in Lanark, so the closure of the branch is not just an inconvenience but a blow to the community, bringing new challenges for a town centre that is already struggling. Many local businesses depend on having quick access to their bank, and the closure will cause difficulties for many businesses in not only the town centre but the surrounding areas. For some customers, without the branch there will be no reason to visit the town centre at all, which is ultimately bad news for the local economy—footfall in shops, restaurants and cafés on Lanark High Street will drop.

I am sure I am not alone in this House in trying to tackle the decline of town centres, and I am sure many Members will agree that bank closures will only worsen the situation on our high streets.

[Mary Glindon (North Tyneside) (Lab)]

I congratulate the hon. Lady on securing this debate. For customers, as she says, it is not just the banks but the other shops on our high streets that will be affected. Taking away this resource does not help older people or people who do not want to use internet banking.

[Angela Crawley]

That is exactly why I have secured this debate. It is important that the Government provide answers on how they hold these businesses to account, especially big businesses like Santander.

I have continued to campaign actively on town centre decline and regeneration in areas such as Hamilton and Carluke. The consequences of further closures of banks and high street stores in the Clydesdale area cannot be overestimated. The wider impact they would have on Lanark are all too obvious and cannot go unrecognised.

Santander wrote at the end of last month to inform me of the decision to close its Lanark branch, with the rationale being that its internal review had found the branch to be no longer viable. However, anecdotal evidence suggests that it had already removed key services such as specialist mortgage advice and financial advice from many of its branches during the internal review.

According to the letter, 89% of customers using the branch are also using additional ways to complete their banking. That includes 26% using another Santander branch and 53% using online or mobile telephone banking. I fully accept that the changing nature of the digital economy and the increased use of online banking have changed how we use branches. However, Santander’s own figures suggest that it is content to let down the nearly three quarters of customers who are unable to travel to another bank and who rely on that service, and the nearly half of customers who do not or cannot access their bank online or through their phone.