In 2012, banks reduced their branches in the European Union by 5.500 units, leaving the Old Continent with 20.000 fewer branches than at the start of the crisis in 2008. This is what emerges from a Reuters analysis of data from the European Central Bank.
Banks in Europe are closing branches in an effort to reduce operating costs and improve profits, while also taking advantage of more consumers accessing online and telephone banking services. The data show an 2008% reduction in bank branches in the European Union in the period 2012-8, thus leaving 218.687 branches, one for every 2.300 people.
The largest cuts in 2012 relate to those countries hardest hit by the crisis. Greece saw one of the biggest contractions in 2012 (-5,7%), which led to the closure of 219 branches. In Spain, on the other hand, 4,9% of the branches in the area closed. The Irish bank branch network, on the other hand, recorded a -3,3%, while in Italy the percentage of closures stopped at 3,1.
In contrast with what is happening in the European Union, the number of branches is growing in some Eastern countries; Poland, the Czech Republic and Lithuania recorded increases in bank branches of 4,4%, 2,3% and 1,8% respectively. In Great Britain, however, the number of branches has remained almost the same.
