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Virgin Money to shut branches, spend more on digital in restructuring

30th Sep 2021 09:31

(Alliance News) - Virgin Money UK PLC on Thursday unveiled plans to increase investment in technology and shut branches, as customers emerge from the pandemic with a "greater appetite for digital self-service".

The Glasgow-based bank expects restructuring costs for the year to be around GBP145 million, up from the previously planned GBP100 million.

Virgin Money shares were down 2.3% at 208.40 pence in London on Thursday morning.

The company's three key elements in accelerating its digital transformation are store closures, simplifying its information technology by moving to cloud-based infrastructure, and increasing flexible working.

Virgin Money will close 31 out of 162 stores in the coming months at a cost of GBP25 million in the fourth quarter. Flexible working plans, which involve repurposing office space, will cost a further GBP20 million.

By Josie O'Brien; [email protected]

Copyright 2021 Alliance News Limited. All Rights Reserved.


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