COMMUNITY leaders have been left reeling by the news that yet another bank is to pull out of Northallerton, the third this year.

TSB bank has revealed it will be closing its branch in the town on May 3 next year as part of a huge programme of cuts that will see a quarter of branches go in the next six months. With major closures also seen in 2020, TSB will have reduced from 475 banks to 220 by June 2022.

In Northallerton this comes on top of HSBC closing in August and Virgin Money, which took over from Yorkshire Bank, due to shut its doors in January.

It is a bitter blow for Northallerton, where millions of pounds are being spent on redeveloping the High Street.

In a statement, Northallerton Town Council said: "We are extremely disappointed with the announcement regarding the closure of TSB, which closely follows the decision of two other key banking institutions to leave, and will negatively impact the residents of Northallerton and surrounding rural areas. The council is concerned by the reduced availability of walk-in facilities for our residents and businesses who need to transact face to face."

North Yorkshire and Hambleton councillor for Northallerton, Cllr Caroline Dickinson said: "Just as the High Street is being transformed and coming back to life, this latest announcement will be a blow to businesses and residents alike, especially those older people who do not use online banking.

"Before making these commercial decisions, the banks should consider the people they are serving and not look at figures during the last two years of footfall into branches.

"There are lots of new and exciting things happening in Northallerton over the coming months which will attract more people to the town. These banks will miss out on a vibrant market town that will attract more businesses."

A TSB spokesperson said: "The way customers bank with us is changing, with the vast majority of everyday transactions now being made digitally. Over 2.2 million customers now choose to bank online, and over 1.6 million use our mobile banking app. Even before Covid-19 customers were choosing other ways to bank with 44 per cent using cash machines and 24 per cent using a Post Office.

"We remain committed to face-to-face services through a branch network that covers the whole country, and over 90 per cent of our customers are within a 20-minute drive to their closest branch."

The latest closure comes amid growing concerns in the town over reduced opening hours at Northallerton Post Office, which is now based in the WH Smith store. TSB branches at Newton Aycliffe and Redcar are also due to close.