ANZ has refuted claims from angry customers that the bank is breaching an agreement not to close any regional branches for three years by shutting down its Katoomba branch in the NSW Blue Mountains next month.
The bank has announced it is going ahead with the closure of its Katoomba branch on October 23, despite community protests and a petition collecting more than 13,000 signatures.
In June, ANZ vowed not to close any regional branches until mid-2027, in return for Federal Treasurer Jim Chalmers approving its acquisition of Suncorp Bank.
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Responding to questions from 9news.com.au, a spokesperson for ANZ said the Katoomba branch closure did not breach the agreement because it was not in a regional location.
“Katoomba is classified by the Australian Bureau of Statistics’ Australian Statistical Geography Standard as a major city location,” the spokesperson said.
“ANZ will maintain our regional branch numbers throughout Australia for three years, until mid-2027.”
ABS maps show Katoomba is located just inside the western border of the Greater Sydney region in its classification as a major city.
Petition starter and Mount Victoria local Kim Grace questioned whether the closure was in breach of the bank’s agreement and said it showed “a total contempt” for the Blue Mountains and its ANZ customers.
“The nearest branches are Bathurst, 90 minutes west, or Penrith, 70 minutes east,” Grace said.
“The entire Blue Mountains, a major tourist spot, will be without an ANZ branch.”
ANZ chief executive Shayne Elliott was questioned about the closure of the Katoomba branch, and also its Murwillumbah branch in the Tweed region, at a house standing committee investigating the big four banks in Canberra last Friday and whether the shutdowns were in breach of its agreement.
In a slightly flustered response, Elliott did not appear to be aware the bank was going ahead with its Katoomba branch closure, instead saying ANZ was “re-looking” at the Katoomba and Murwillumbah branches.
“The negotiations and when the federal treasury put in place the requirements, they were literally… right towards the end of our negotiations. So when we kicked off those branch closures … we weren’t aware that we going to make that obligation so that is why they were caught in the middle and we are re-looking at those ones,” Elliott said.
However, ANZ’s group executive for Australian retail Maile Carnegie immediately jumped in to dispel any suggestion that the Katoomba branch would be saved.
“So specifically with Katoomba, we are planning to go through with that closure … and we have shared this with the government,” she said.
ANZ has cited mould issues as a reason why its Murwillumbah branch is “not fit for purpose” and said it is investigating future options there.
The bank recently backed down on plans to close Bega in south-eastern NSW and Portland in south-western Victoria due to community outrage.
According to figures from banking regulator APRA (Prudential Regulation Authority in Australia), the number of bank and credit union branches in Australia fell from 6000 in 2001, to 3588 branches by June 2023.
An ANZ spokesperson said transactions at its branches had halved over the past five years.
“Today just 1 per cent of all transactions are done over-the-counter and almost 4 million customers use our mobile banking app,” the spokesperson said.
ANZ was working with its Katoomba customers to make sure they were aware of all their banking options.
Contact reporter Emily McPherson at emcpherson@nine.com.au
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