Big banks continue to take advantage of their customers’ move to online banking in response to COVID lockdowns, with ongoing branch closures and the development of new smaller branch designs.
In an update on its branch network yesterday, NAB said it has completed 26 branch overhauls so far this year and would work on another 50 this year.
Its investment spend on branches this year will be A$100 million, on top of $60 million spent last year.
NAB had 646 retail branches and business banking centres at March 31 – a reduction of 5.8 per cent over 12 months.
According to the bank’s interim financial report, occupancy and depreciation expenses fell by $35 million during the six months to March, which was the result of benefits associated with branch closures and lease renegotiations.
NAB group executive personal banking, Rachel Slade, said the shift to digital banking continues. When customers visit branches they primarily want conversations with staff.
In response to this, design changes include more meeting spaces, videoconference facilities and self-service machines that can be accessed 24 hours a day.
New branches have a smaller footprint. After trialling the new format at Casey Central Shopping Centre in Victoria last year, the bank is opening new small branches at Barangaroo in Sydney, Bourke Street and Collins Street in Melbourne and Clyde in regional Victoria.