Banking

Sainsbury’s plans to withdraw from banking


Sainsbury’s has confirmed plans to wind down its Edinburgh-based banking division, as it focuses on its core food business.

The supermarket chain stated it will follow a “phased withdrawal” from banking – although no timeframe was given – but that the service’s 1.9 million customers would see no immediate changes.




Sainsbury’s Bank currently offers loans, credit cards and savings accounts.

Following a strategic review, these products will now be offered by “dedicated providers through a distributed model”, much like it already does this with insurance products.

Chief executive Simon Roberts said: “We have been clear since we launched our food first strategy in 2020 that we would concentrate our efforts on our core retail businesses and today’s announcement reflects that strategic focus..

“It’s business as usual for now at Sainsbury’s Bank and there will be no immediate changes to products and services as a result of today’s announcement.

“We will of course communicate directly to customers well in advance of any changes to their products and services.”

An operational update also stated that Jim Brown will retire as chief executive of Sainsbury’s Bank, to be replaced by Robert Mulhall, the former head of Allied Irish Bank’s UK division, at the end of March.



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