Clydesdale Bank announces alliance with UK Post Office

Agreement offers customers access to accounts at thousands of locations

Clydesdale Bank today announced an agreement to give customers access to banking services at Post Office® branches.

From 1 October, Clydesdale Bank customers will be able to withdraw and deposit cash, check balances and deposit cheques at any of the 1799 Post Office® branches in Scotland and a further 13,857 around the rest of the UK at no extra charge.

Clydesdale Bank Chief Operating Officer, David Thorburn, said the agreement offered significant benefits to Clydesdale’s one million banking customers and would greatly assist the bank’s programme of expanding business and private banking services in the south of England.

“Clydesdale has a rapidly expanding network of Financial Solutions Centres in England and the agreement with Post Office Ltd is a very important part of this programme as it will allow clients of the centres to deal with their day-to-day banking needs locally. Our Financial Solutions Centres represent a major investment in the growth of a great Scottish business, and one that will be significantly enhanced by our new alliance with Post Office Ltd,” Mr Thorburn said.

David Mills, Chief Executive Post Office Ltd said: “Post Office Ltd has established itself as a key provider of banking services through its extensive branch network, especially in rural areas, as 60 per cent of villages have a Post Office® branch but only 9 per cent have a bank branch.

“Working together with banks and building societies has major benefits for all parties. Increased accessibility to services is a key consideration for any business’s customers. The agreement is great news for both Post Office® and Clydesdale Bank customers giving them additional access to Clydesdale services through the largest retail network in the UK. Each week, Post Office® branches serve around 29 million people who make some 42 million visits to our branches; 27 pence in every £1 in circulation passes through a Post Office® branch.

“Post Office® branches are at the heart of communities, serving the needs of individuals and businesses alike and are very much a natural place to undertake banking transactions.”

David Thorburn added: “This alliance means our customers, particularly those in rural areas or who have mobility problems, now have another convenient way to do their banking in their local area or when they are travelling. We are delighted to make this announcement today and are confident our customers will find the additional access to their accounts enormously convenient.”

Scotland Office Minister Anne McGuire MP also welcomed the announcement. The Minister said: “Access to the Clydesdale Bank’s current accounts at Post Office® branches around the country will be a welcome step forward for customers of both the Bank and the Post Office®. I am sure many current and new customers will make use of the service, which will be a particularly practical development for those in rural areas. This is a significant boost to the Post Office® as it extends the service it can offer to customers.”

Clydesdale’s Financial Solutions Centres offer locally-based relationship managers and a range of specialists to provide an innovative and integrated approach to meeting the business and private banking needs of our clients. Centres are already opened in eight locations in England with another four to be opened in the next few months and further expansion plans for the coming year. Clydesdale has also recently announced that a flagship centre will be opened in Glasgow’s city centre in the near future.

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Notes to Editors:

About Clydesdale Bank and the National Australia Bank
· Clydesdale Bank was established in 1838 in Glasgow and has a proud history of innovation and support for Scottish industry and communities. With 2,800 staff and 230 branches, Clydesdale is one of Scotland’s largest banks. Clydesdale Bank became a part of the National Australia Bank Group in 1987
· National Australia Bank Limited is an international financial services group. As at 30 September 2003, the National had total assets of £168 billion (AUD 397 billion), assets under management and administration of over £31 billion (AUD 73 billion), assets under custody and investment administration of £131 billion (AUD 311 billion), almost eight million banking and more than 2.8 million wealth management customers globally.
· Financial Services Europe is the retail banking arm of the National for Great Britain and Ireland. FSE includes all European based consumer, business and agribusiness banking, together with cards, payments, leasing and shared services. Members of Financial Services Europe include Clydesdale Bank in Glasgow, Yorkshire Bank in Leeds, Northern Bank in Belfast and National Irish Bank in Dublin.
· More information on National Australia Bank Group can be found at http://www.national.com.au/ More information on Clydesdale Bank can be found at www.cbonline.co.uk

About Post Office Ltd

· To date, Post Office® branches offer banking services for Lloyds TSB, Barclays, Alliance & Leicester and Bank of Ireland customers, as well as the Co-operative Bank, First Direct, smile and cahoot
· Post Office Ltd turnover was £1,186 million last year. Post Office Ltd is a separate limited company under the Royal Mail Group.
· The Post Office® has a network of some 15,656 branches – larger than all the banks and building societies put together (around 14,400). 94 per cent of the UK population live within a mile of a Post Office® branch. The Post Office® offers 170 products and services, including banking, travel insurance and foreign currency, bill payments, lottery products, licence applications, phonecards and mobile phone top-ups, and postal services.
· The Post Office® is the largest supplier of foreign currency in the UK, with 20 per cent of market share, and is in the top five in the travel insurance market.
· The Post Office® is the biggest cash handler in the country – with more than £140 billion passing through its hands each year. More than 500 million household bills are paid at Post Office® branches each year – with a value of £12 billion.