Recent data reveals that only 13% of respondents visited a bank branch in the last week, down from 18% in 2022, and just 20% visited one in the last month, a decrease from 25% in the previous year.

As bank branches close, the digital offerings of banks are becoming increasingly important to consumers. Over a third of individuals (34%) now consider an app that is simple to use as being the most important interaction they have with their bank – up from 25% last year.

Karim Haji, global and UK head of financial services at KPMG, said: “While the transition to more digital banking is desirable for most, bricks and mortar bank branches are still a vital way for vulnerable members of society to manage their personal finances.

“During this challenging economic period, they offer a means for individuals to access or deposit cash, a timeless budgeting tool, and discuss their finances with a bank manager face to face.

“Banks must recognise the importance of having access to a bank branch and manage their branch networks sensitively. The banking sector is already exploring innovative new ways to enable customers to access services in person – such as through multi-bank hubs – today’s research demonstrates just how important it is that work happens at a pace.”

Individuals earning at or below the minimum wage were the most likely demographic to state that they would miss their bank branch if it closed.

Just 38% of UK adults polled said that they had previously heard of a ‘Bank Hub’ – shared spaces on the high street letting customers of multiple banks deposit and withdraw cash and perform other everyday banking tasks – up from 28% in 2021.

Mr Haji added: “Although the rollout of banking hubs has so far been fairly muted, with only a handful of hubs open today, as more banking hubs open across the UK they’ll likely become more well-known and popular as they open in areas which have experienced bank branch closures.”

The factors that would make the individuals polled most likely to visit a bank hub were if they knew they could help with a particular issue (33%) or if it were close to their home (32%).