Santander has announced a major bank branch update following the completion of a recent business deal, in a move impacting 28 million customers across the UK.
The banking giant finalised its acquisition of TSB on Thursday, a deal worth close to £3billion that represents the most significant investment in British banking for more than a decade and a half.
The transaction received approval from both UK and European regulators before completion, according to the Spanish-owned lender.
This merger establishes a banking powerhouse that will rank third nationally for current accounts and fourth in the mortgage market, serving approximately 28 million customers across Britain.
Santander has given an update to 28 million customers over the future of bank branches
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Santander, a subsidiary of Banco Santander, confirmed that account holders at both banks will experience no immediate disruption to their services.
Mahesh Aditya, Santander UK’s new chief executive, said: “This is excellent news for UK banking, with the acquisition representing the single largest investment in the sector for over 15 years.
"Bringing TSB into the Santander group strengthens competitiveness in the market and is an important step in creating the best bank for customers."
Santander agreed a £2.65billion buyout of TSB from Spanish banking group Sabadell last year, but said the final price paid rose to £2.9billion on completion.
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Bank branch closures are continuing at an 'alarming rate', according to Which? | GETTY Nicola Bannister, who assumed the role of TSB chief executive from today, expressed optimism about the transition for both banking groups going forward.
She said: "Today marks a significant new chapter for TSB as we become part of Santander. I look forward to leading TSB as we combine the very best of these two great businesses."
With the acquisition now complete, Santander has confirmed plans to achieve cost savings of at least £400million as part of its ongoing restructuring.
On the bank's website, the Spanish-owned financial institution gave an update to both Santander and TSB over the future of bank branches post-acquisition.
Are you one of the customers impacted by the acquisition?
| GETTYIn a Q&A section on the page confirming the deal, in response to the question if Santander sites will be affected, the bank stated: "There are no immediate changes to our branches."
On whether service hours or contact numbers will be impacted, Santander added: "No. Please continue to use our existing contact details and opening hours."
Regarding the bank's customers using TSB locations, the lender said: "For now, Santander UK and TSB branches operate separately. If this changes, we’ll let you know."