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Commonwealth Bank is closing all branches of its subsidiary Bankwest, which will become a digital only financial institution. Staff and customers were told on Wednesday that the remaining 60 Bankwest branches would be either closed or converted into Commonwealth Bank outlets by October and impacted staff would be offered other roles.
Only 15 Bankwest branches, all located in Western Australian country centres, will be converted to Commonwealth Bank centres with the remaining 45 - 28 in Perth and 17 in regional WA - to close. All Bankwest branches are to shut down by its owner the Commonwealth Bank of Australia. Five Bankwest branches had already been slated to close by mid-April, while the Commonwealth Bank said it could not guarantee the 15 branches that will be adopted into the parent company will stay open beyond B ankwest executive general manager Jason Chan said closing the network was a difficult but necessary decision to ensure the bank's sustainability but admitted some customers would find it 'quite confronting'.
Bankwest claimed that falling patronage by its , customers in Western Australia no longer justified the cost of keeping open the branches dotted around the vast state. He said branches were handling an average of just 30 over-the-counter transactions a day with the regional centres only processing Bankwest has been running branches for well over a century since it was set up as the Agricultural Bank of Western Australia in by the West Australian government to lend money to agricultural concerns and farmers.
The Commonwealth bank snapped Bankwest as a bargain buy in the aftermath of the Global Financial Crisis. In early the CBA announced Bankwest would be transitioning out of business lending, despite that being its original mission.
