Month: June 2024

Beaumont said the trial found customers used the banking hubs less than they would single-brand bank branches, which was why the participating banks recently decided to renew their commitment not to close regional branches for another three years.

New Zealand Banking Association chief executive Roger Beaumont said there wasn’t “significant demand” for the physical services, but most of the hub network will remain.

“Our banks currently hold around $60 billion in capital. That investment is essential to banking in New Zealand and, to maintain that investment, their owners need a return. The banks’ return on equity is average compared to other major New Zealand businesses,” Beaumont said.

“NZBA and the participating banks put a huge amount of work into developing the hubs trial. We are proud of what we delivered, and most of the hub network will remain,” Beaumont said.

NZ Banking Association chief executive Roger Beaumont said that once banks are aware of a customer’s category three status, they can work through available options.

Beaumont says the phase two hubs were welcomed by their communities. However, the trial did not indicate a significant demand for these physical services with hub usage lower than many comparable regional branches or ATMs.