The bank will close more than a dozen physical outlets as branch and ATM numbers continue to fall nationwide.
People First Bank has announced it will close 15 branches and three agency outlets from March 12 as part of a nationwide consolidation of its branch network.
In 2023, the customer-owned People First Bank merged with Heritage Bank, operating more than 70 branches across New South Wales, the Northern Territory, Queensland, South Australia and Victoria.
Impacted locations include Coomera, Hervey Bay, Kawana Waters, Kippa-Ring, Macquarie Park, Millmerran, Oakey, Pittsworth, Runaway Bay, Toowoomba Range, Tweed Heads, Wilsonton, Blackwood, Millicent, and Caroline Springs.
The Laidley, Maryborough and Goondiwindi agency outlets will be closed.
The bank’s Glenelg and Ballarat branches will become lending and advice centres.
Queensland Treasurer David Janetzki described the move as “devastating.”
“There was a clear commitment upon the merger between Heritage Bank and People’s Choice that there would be no branch closures and now more than 20 Heritage Bank Queensland branches have been shuttered in the past year alone,” he said in a statement.
“The meaning of mutuality might be lost on executives and directors in Adelaide and Sydney but it means the world for dozens of communities and thousands of people across the Darling Downs and Queensland.
“Local banking services, local jobs, support for local family businesses, sponsoring community events and a dedication to local causes all underpinned with a sense of pride knowing everyone had a stake in the ownership of their local bank.”
Bank Defends Closures
In a statement, People First Bank said the closures had been a “difficult decision”.
“The way people bank is changing significantly, with most using card payments, internet banking and our app for their day-to-day banking,” chief customer officer Maria-Ann Camilleri said in a statement.
“Less than 1 percent of our transactions occur in branches and fewer than 0.7 percent of our customers use a branch regularly.
“As a customer-owned bank, we must adapt to changing banking preferences by investing in the services our customers use most.”
Camilleri denied the bank’s decision had been driven by profit.
“We know how important branches are to communities, so these decisions are only made after careful consideration as to how best serve our customers now and into the future. We will do everything we can to support those affected and help them continue banking with us,” she said.
Employees in affected branches will be offered alternative roles with the bank, Camilleri said.
The announcement comes after Bendigo Bank announced the closure of 10 branches nationally last July, while Bank of Queensland shut 14.
Bank Branches, ATMs in decline
According to research from Canstar, 155 Australian bank branches closed in the 2024-25 financial year, with 1,564 closing over a five-year period.
Research also showed the number of ATMs had dropped by 333 in the same financial year, and by 4,478 over five years.
Canstar’s data insights director Sally Tindall said bank customers were trending towards digital transactions.
“As banking goes increasingly digital, there’s no doubt more customers are happy to tap, click, transfer, and apply online instead of queuing at a branch,” she said.
“The challenge for banks is making sure no one is left behind in this shift.”
