Santander Said To Be Considering Buying Major High Street Bank

• Spanish giant Santander has reportedly set sights on TSB in surprise twist
• TSB’s owner Banco Sabadell recently confirmed it’s ready to sell
• Comes as high street faces fresh wave of brutal branch closures
• Experts fear impact on competition and local services

Whispers in the City suggest a major bank takeover could be on the cards – and it’s got industry insiders bracing for another seismic shift on the high street.

According to Sky News, banking heavyweight Santander has quietly made contact with Banco Sabadell, the Spanish owner of TSB, to discuss a possible acquisition. The move comes hot on the heels of Sabadell announcing it was open to offers for TSB – a bank with around 175 branches and millions of UK customers.

While both Sabadell and Santander have so far refused to comment, the mere hint of a deal has sent tongues wagging. Santander, which already operates 444 branches (though it plans to shut 95 of them this year), could be positioning itself to scoop up TSB just as Sabadell fends off an aggressive €11bn bid from rival BBVA.

Levi Winchester reported in the Mirror that Sabadell said: “Banco Sabadell will assess any potential binding offer it may receive. Naturally, any transaction would be subject to the satisfaction of all legal obligations.”

TSB, bought by Sabadell for £1.7 billion a decade ago, has recently shown signs of bouncing back – it reported a £101 million profit in Q1 this year, nearly double the year before. Santander, meanwhile, has fended off interest from other UK banks keen to snap up its own retail operations.

But the potential tie-up raises big questions: what would it mean for customers? And is this a smart play by Santander – or a risky power grab at the worst time?

Bank branches are vanishing at an alarming rate, with 6,300 closed over the last decade – and another 79 due to shut just this month alone. The fear is that this deal could accelerate that trend, fuelling even more frustration for customers already left stranded by the digital shift.

Tom Church, Co-Founder of LatestDeals.co.uk the discount code platform said, "With branches disappearing and competition shrinking, it’s the everyday saver who risks getting squeezed. If this deal goes ahead, we’ll be watching closely for how it affects fees, services, and who’s really benefiting."