Banks achieve record revenue per branch in full reduction of their network

Final yr, banks registered the very best quantity of enterprise so far per department thanks partly to the restoration in profitability after the rise in rates of interest and, above all, to the more and more decreased variety of branches, that are concentrated in a smaller variety of them the exercise of the shoppers.

Final yr, banks registered the very best quantity of enterprise so far per department thanks partly to the restoration in profitability after the rise in rates of interest and, above all, to the more and more decreased variety of branches, that are concentrated in a smaller variety of them the exercise of the shoppers.

Every department in Spain manages a mean of 184 million euros per yr, a determine 15% greater than that of 2021 and above not solely the one earlier than the pandemic, but in addition your entire historic sequence so far. The beginning of rate of interest rises has accelerated the development.

In keeping with Alvarez

The common is decrease among the many outdated financial savings banks, which have a extra intensive community of branches than that of conventional banks. CaixaBank strikes 169 million euros per department, Abanca 145 million, Kutxabank 136 million, Unicaja 134 million and Ibercaja 79 million.

On the finish of 2022 there have been 13,800 financial institution branches in Spain, 10% lower than a yr earlier and nicely under the greater than 40,000 that existed earlier than the 2008 disaster. The pandemic and the newest financial institution concentrations have intensified the discount of the community , which is now 28% decrease than that of the primary quarter of 2020.

CaixaBank is by far the financial institution with probably the most branches at present, with 4,081, in comparison with Santander's 1,913 and BBVA's 1,886. Sabadell has 1,228, in comparison with 969 for Unicaja and 894 for Ibercaja.

Aside from the discount in branches, final yr there was a robust improve in enterprise inspired by the rise in rates of interest, which has additionally raised profitability per department.

On the finish of final yr, Spanish branches dealt with 1.17 trillion euros in loans, 1.7% greater than a yr earlier and 10.3% greater than earlier than the beginning of the pandemic. In deposits, they dealt with 1.37 trillion euros, 4.5% greater than on the finish of 2021 and 20% greater than earlier than the covid.

"The quantity of enterprise per department continued to extend final yr as a result of discount within the variety of branches and the rise within the efficiency of loans and deposits," Alvarez says in his report.

The reduce within the variety of branches and face-to-face providers is without doubt one of the important causes for concern for customers. The Authorities has reached agreements with banks to enhance care in rural areas and for the aged.