Barclays is reversing its high-street strategy, planning to open new branches across the UK and reintroduce the traditional “bank manager” role, signaling a broader shift in how the lender seeks to compete in a digital-first market.
Vim Maru, who has led Barclays UK since 2024, told Business Matters that the bank intends to expand beyond its current network of 206 outlets. The move comes after a pause on a closure programme that had seen around 80 percent of branches shut since 2019. While Maru did not specify how many new branches would open, he described the expansion as a key part of Barclays’ approach to modern banking.
The strategy is aimed at countering the rise of digital-only challengers such as Revolut and Wise, which have made inroads into the current-account market. Rather than competing solely on technology, Maru said Barclays would focus on a combination of digital services and in-person support. He stressed that customers would not be left navigating endless chatbot loops and that staff would be available for real assistance. The reinstatement of the “branch manager” title reflects this commitment to visible, accessible customer service.
Maru did not admit that previous closures had been excessive but acknowledged the need to reassess customer service strategies periodically. New branches will complement, not replace, existing shared banking hubs operated through the Post Office.
Barclays is also pursuing growth beyond the branch network. The bank reported a record number of mortgage applications last year, reducing processing times from 45 minutes to 15 through improved technology. Acquisitions such as the Tesco credit card business in 2024 and the doubling in size of Kensington Mortgages since May 2023 have broadened Barclays’ footprint in retail banking.
Artificial intelligence is being deployed internally to streamline processes, though Maru emphasised that, as with ATMs, the technology is expected to supplement staff rather than replace them. He noted that ATMs initially raised concerns over job losses but ultimately led to staff being redeployed to manage fraud and customer support.
From its vantage point, Barclays sees consumer spending holding up despite recent uncertainty linked to the Iran conflict. Maru cited a brief spike in fuel purchases at the start of the war, which quickly normalised, and said sectors like hospitality had remained resilient.
With CEO CS Venkatakrishnan committing an additional £30 billion in UK investment between 2024 and 2026, Barclays is focusing on organic growth rather than pursuing major acquisitions such as Santander UK or TSB. Maru said the bank already had strong momentum, and a renewed high-street presence would reinforce its position.
