The Bank of Scotland’s parent company appears “immovable” over their decision to close the Benbecula branch, Isles MP Torcuil Crichton has warned. And he fears that the local population level doesn’t reach the threshold for a banking hub.

Yesterday (Tuesday, February 24), he raised the issue with the UK government’s Economic Minister in a Westminster Hall debate and asked her to join him in raising the matter with the banking watchdog, LINK.

He told the Westminster Hall debate he had come from discussions with Lloyds Bank.

“But the closure decision appears as irreversible as it is regrettable,” he disclosed.

 “But the danger now is that we will have no banking hub because the banking population of Uist is too small to fit within the parameters of a banking hub, and will the Minister ensure that the banks and LINK and associated authorities expand and adjust their parameters so that sparsely populated and island populations continue to have services and banking services available to them?”

Lucy Rigby, Economic Secretary (HM Treasury), told the debate that the government has worked with the banking industry to get a pledge of at least 350 banking hubs across the country.

She stated: “What I will say, on our 350 banking hubs in the course of this Parliament, is that it is important to note that that is a floor rather than a ceiling, so it is entirely possible that the 350 target will be surpassed.” 

Acknowledging that face-to-face contact with bank staff, which is offered in some hubs, is important, the minister said the government had been exploring with the banks how hub services might be expanded and improved when there is a community need.