TSB has unveiled a new growth strategy as it aims to focus on better serving customers and improving competitiveness.
The bank’s three-year strategy will see it invest £120m to transform digital channels, and achieve both a profit target of between £130m–140m by 2022 and around 5% net lending growth per annum.
TSB is also hoping to significantly improve efficiencies with a 15-percentage point improvement in cost-to-income ratio and £100m in net cost savings by 2022.
It also plans to undertake a reduction in the branch network in response to changing customer behaviour.
"Our new strategy positions TSB to succeed in a challenging external environment at a time when we know customers want something different and better from their bank,” said Debbie Crosbie, chief executive officer at TSB.
“With a trusted brand, modern platform and national presence, TSB is well placed to deliver — but we need to make changes to enable us to compete.”
Jaime Guardiola, CEO at Banco Sabadell, added: “TSB brings enhanced scale and broader geographical diversification to the group, and is a key lever to improve our profitability going forward.”
SIGN UP TO OUR NEWSLETTER TO RECEIVE MORE NEWS LIKE THIS STORY
Revolut valued at $5.5bn following $500m fundraise
Revolut has raised an additional $500m in Series D funding, which takes the total amount secured by the company to $836m and values it at $5.5bn...
Hodge joins Advise Wise Mortgage Club lender panel
Hodge has announced that it has been added to Advise Wise Mortgage Club’s lender panel...
Shawbrook provides £500,000 second charge loan to protect property’s value
Shawbrook Bank has provided a £500,000 second charge loan to save a client’s property value...
Redwood Bank launches new business savings bond
Redwood Bank has launched a new one year business savings bond with a rate of 1.62%...
OakNorth Bank completes seven-figure debt finance deal
OakNorth Bank has provided independent advisory firm Dow Schofield Watts with a seven-figure debt finance facility to make a strategic investment in Camlee Group...
Starling Bank raises £60m and gives shares to employees
Starling Bank has revealed that it has raised £60m from its existing investors Merian Global Investors and JTC...
Cash costs time for SMEs — how can banks help?
Cash is still king for businesses up and down the country; businesses that must essentially be flexible to consumer preferences...
SB to host filmed roundtable on how specialist banks aim to utilise technology in 2020 and beyond
Next week, Specialist Banking will host its sixth filmed roundtable event in association with Watson Farley & Williams...
Aldermore names Tim Boag as group managing director
Aldermore has named Tim Boag (pictured above) as its new group managing director of business finance...
Aldermore’s outlook for SMEs in 2020
As we enter 2020, it’s worth reflecting on how the economic landscape in which UK small businesses currently operate in is changing...
Cynergy Bank opens first Scottish office
Cynergy Bank has opened its first Scottish office in Edinburgh...