Lloyds Banking Group has announced the closure of several Bank of Scotland branches across the UK, including four in Dumfries and Galloway. The closures are part of a wider plan to shut 136 branches by March 2026, as the bank adapts to the increasing shift towards digital banking.
Affected Branches and Closure Dates
The following Bank of Scotland branches in Dumfries and Galloway will be closing:
- Bank of Scotland Annan: Closing on 2nd March 2026
- Bank of Scotland Moffat: Closing on 29th October 2025
- Bank of Scotland Sanquhar: Closing on 28th May 2025
- Bank of Scotland Thornhill: Closing on 3rd November 2025
These closures are part of the bank’s strategy to reduce its physical presence as more customers move towards online and mobile banking services.
Reasons for the Closures
Lloyds Banking Group has attributed the closures to a decline in in-person banking, with customers increasingly opting for digital banking options. Over 20 million customers now use the bank’s apps for everyday transactions, leading to a reduced need for physical branches. The group has also pointed to telephone banking, community bankers, and Post Office branches as alternative methods for customers to access banking services.
Impact on Local Communities
The closures in Dumfries and Galloway, especially in smaller towns and rural areas, are expected to impact customers who rely on in-person banking. Older customers, who are less likely to bank online, and those in remote communities, could face challenges in accessing services. Bank branches in rural areas often serve as vital community hubs, and their closure may create additional travel difficulties for customers needing to access banking services.
Banking Hubs as Alternatives
In response to the decline in traditional bank branches, banking hubs are being introduced as an alternative. These hubs are physical locations where services are shared by multiple banks. As of September 2024, there were 76 banking hubs across the UK, with plans to increase this number. However, the pace of introducing these hubs has been criticised, with some campaigners arguing that they do not replace the convenience of local branches quickly enough.
