Santander eyes job cuts to free up cash for digital expansion plans as online-only challengers prepare for launch
High street challenger bank Santander UK is considering axing some senior staff to free up cash for its digital expansion plans.
The bid to cut costs follows similar moves from the bank’s Spanish parent company to hollow out the ranks of senior managers.
The Spanish lender is also planning to cut down its branch numbers in its home market, though City A.M. understands there are no plans to further reduce the number of branches in the UK.
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Santander currently employs 20,000 staff and has around 850 branches across Britain.
“We constantly review our operational model to ensure we provide the best services to our customers while at the same time, delivering value to shareholders,” a spokesperson for Santander said. “Driving more operational efficiencies also means we are able to continue our investment whether this be customer-facing or digital innovation such as we announced recently with voice banking.”
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High street banks are coming under pressure to cut costs due to the impending launch of cheaper to run digital-only banks.