The closures will reduce the bank’s branch network from 540 to 454.

TSB’s CEO Debbie Crosbie outlined the Bank’s three-year strategy today to restore its competitiveness through a relentless focus on better serving its customers.

As part of the plan, TSB will invest £120 million in digital solutions, products and services to help it deliver its renewed business purpose - “Money Confidence. For everyone. Every day”. The bank has said the £120m will be used to provide mobile in-app onboarding/sales, as well as investing in the automation of some of the bank’s branches.

Debbie Crosbie said: “Our new strategy positions TSB to succeed in a challenging external environment at a time when we know customers want something different and better from their bank.

“With a trusted brand, modern platform, and national presence, TSB is well placed to deliver – but we need to make changes to enable us to compete.

“The plan we’re sharing today involves some difficult decisions, but it sets TSB up to succeed in the future. Taken together, these changes will help us to serve more customers, better, for the long-term.”

The details of the new strategy did not include any information regarding job cuts.

The announcement follows TSB’s major IT failure on Friday last week which led to 135,000 customers finding that their wages and other payments failed to reach their accounts.

Regulators initiated an investigation into TSB after the failure.

The IT failure hit the bank only three days after its board was lambasted by an independent report into an IT crash experienced by the bank last year.