Westpac Commits to Keeping All Regional Branches Open Through 2027
Westpac is committing to not closing any more regional bank branches until at least 2027 and will invest over $150 million in its branch network in the next two years.
This decision from the Australian bank, known as one of the “Big Four,” follows a trend of other banks like Macquarie Bank and BankWest moving towards online-only services.
On May 1, Westpac extended its moratorium on regional bank closures until 2027, acknowledging challenges faced by customers in accessing internet connectivity and traveling to nearby branches.
Westpac’s Chief Executive of Consumer Banking, Jason Yetton, emphasized the bank’s commitment to supporting regional communities, stating that they play a critical role in Australia’s economy.
In the next two years, Westpac plans to invest more than $150 million in its branch network to benefit over 1,000 employees and 2.2 million customers in 182 regional areas.
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Westpac recognizes the importance of regional areas as business and job hubs, benefiting small and agri-business customers with local banking relationships.
Additionally, Westpac has a partnership with Australia Post, providing banking services to 1,800 communities with a $200 million investment over a decade.
11 Percent Rise in Virtual Banking
Despite an 11 percent increase in virtual banking, Westpac has 5.92 million customers using its banking apps and online platforms.
The bank aims to educate customers on digital banking solutions to enhance digital inclusion in regional Australia.
Recent Branch Closures
BankWest recently announced its transition to a digital-only bank, closing or converting all branches by October, impacting several Western Australian regional towns.
This move has been criticized by the Finance Sector Union for abandoning customers to cut costs and focus on digital banking.
Similarly, Macquarie Bank is also moving towards digital-only services, limiting cash and check services in branches starting late May.
Other banks like National Australia Bank have closed several branches in response to customers preferring online banking options.
