Plans for the Norwich & Peterborough (N&P) Building Society brand to be “withdrawn” from the high street over the next year have been announced by its parent bank Yorkshire Building Society Group (YBS).
Under the proposals, 28 of N&P’s branches will be closed from September, with its remaining 17 branches rebranded as Yorkshire Building Society branches.
The N&P brand will also be removed from the high street over the year, meaning new products will eventually stop being sold.
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In terms of existing customers, N&P offers current accounts, savings accounts, and mortgages to a total of 3.3 million people. Here’s what’s been proposed for these customers:
- Current account customers: Current accounts will be closed for existing customers over the next year.
- Savings customers: Savings will be transferred to YBS products, although the bank says it doesn’t plan to change any rates or terms and conditions as a result of this move.
- Mortgage customers: These will remain N&P branded products and customers will continue to receive N&P branded letters and literature. YBS says it also doesn’t plan to change the mortgage rates or terms and conditions as a result of this move.
This process is expected to take place by April 2018, with the plans confirmed at some point before then.
YBS adds that customers do not have to do anything at the moment, and says it is contacting all customers to tell them about the proposals. If it goes ahead with the plans, it says it will contact customers again to talk them through the changes and how it will affect them.
Of course current account, savings account, and mortgage customers should always check they’re on the best deal regardless of their provider and switch if this isn’t the case – although do check for any exit penalties or fees if you’re on a fixed product.
In addition, 20 of YBS’ 163 branches have been earmarked for closure this May. Its 100 Yorkshire Building Society agencies are, however, unaffected. See the full list of branches planned for closure on the YBS website.
N&P has been part of the YBS Group since 2011.
Why is YBS making these changes?
YBS says the aim of the move is to “focus on one high street brand” and to deliver “better long-term value”.
Mike Regnier, chief executive of Yorkshire Building Society, says: “We believe these proposals give us greater focus on providing existing and future members with the things they want from us most: a safe place for their savings and funding to buy their own home, and providing these in an easy and simple way.”
On the closing of current accounts, Mr Regnier adds: “The changing landscape of the current account market means continuing to provide this service and extending it to new customers would require a significant increase in our investment in this part of the business. Although we understand the proposal may be disappointing to current account customers, it follows thorough research and assessment. We believe the level of investment required would not represent good long-term value for the wider membership.”