ANZ sparks outrage after making huge branch decision – and why the bank is refusing to apologise

ANZ has been accused of breaking its promise to not close any regional branches after announcing one of its premises would be shutting down in a matter of weeks.

The bank revealed it would be closing its branch at Katoomba, in NSW’s Blue Mountains region, next month with fired-up locals labelling it a ‘bloody disgrace’. 

The bank vowed in June not to close any regional branches for three years in return for federal treasurer Jim Chalmers approving its acquisition of Suncorp Bank. 

However, they will shut their Katoomba branch next month, despite the public’s belief the town is indeed regional.

Following the closure, Katoomba residents will need to travel 46km to reach the nearest branch in Penrith, western Sydney, a journey of about 70 minutes.

ANZ defended the decision, stating that the closure does not violate its commitment because Katoomba is ‘classified by the Australian Bureau of Statistics’ Australian Statistical Geography Standard as a major city location’.

Locals are outraged, claiming the bank looked for a ‘loophole’ to strip them of their branch from October 23.

On local Facebook groups, dismayed locals indignantly argued: ‘We are regional.’

The branch will be closed defnitively on Octover 23, at 1.30pm as ANZ defends their position

‘The attitude of banks towards customers is apalling these days,’ one woman wrote. 

‘Customer service is going downhill everywhere’.

A local business owner said she’d closed her accounts because the lack of a ‘brick and mortar’ bank branch meant she couldn’t deposit her business earnings.

‘I am a small business owner and even though I have a ‘square’ most of my customers still like to pay with cash,’ she said.

‘I have had no choice but to close my ANZ accounts after banking with them for decades, because I need to be able to deposit my cash takings.’

Local Kim Grace told Yahoo the closure plans were a ‘kick in the guts’, for the community, which, like many non-metropolitan areas, has a high number of ageing Australians.

‘I just thought that’s just freaking rude, you know?’ he said.

‘Banks used to be community-based, everyone knew the bank manager, and the bank manager knew everyone. Now it’s just for the shareholders.’

ANZ cited the 2021 ABS map showing Katoomba just falling within ‘major city’ designation

ANZ defended the decision and confirmed they would proceed with the closure – citing declining in-branch transactions.

‘Transactions in our branches nationally have halved over the past five years. Today just one per cent of all transactions are done over-the-counter and almost four million customers use our mobile banking App,’ a spokesman said.

‘We are working with our Katoomba branch customers to ensure they are well supported and aware of all the ways they can complete their banking, including utilising nearby branches, local atmx ATMs, phone banking, or our team of community-based bankers, like mobile lenders.’