Councillors have voiced concerns for businesses after the Royal Bank of Scotland (RBS) struck a “hammer blow” to Johnstone town centre with the closure of its Church Street branch.

The banking giant brought the shutters down on the facility for the final time last week, on Tuesday, August 15.

In its place, from August 25, RBS will be launching a new ‘pop-up bank’ service at Station Seven, in Quarry Street, which will be available every Friday.

Councillor Gillian Graham told The Gazette: “The closure of the RBS branch is yet another hammer blow to Johnstone town centre following the closure of the TSB in 2021.

“This leaves only a Bank of Scotland branch available to residents for personal and business banking.

“Johnstone has a population of nearly 16,000 and the town centre is also used by many nearby villages such as Kilbarchan, Linwood, Elderslie, Howwood and Brookfield, which sadly have no bank at all.

“Many residents are older and prefer to visit a bank personally and are cautious of online banking.

“Similarly, local small businesses need to deposit cash.

“This decision is purely based on profit margins and does not reflect the needs and wishes of Johnstone residents.

“I suspect that RBS may find it loses business through this short-sighted decision as customers move their accounts to the Bank of Scotland.”

The Gazette:

Councillor Andy Doig added: "I think it is shocking that an institution like RBS, which is 40 per cent owned by the taxpayer, is taking an arbitrary decision to walk away from Johnstone and the many residents who need their services.

"There has been a big debate recently about people in public life being de-banked by some of the High Street banks. Well, today I have de-banked RBS by cutting up my RBS credit card.

"There is no doubt about it that local businesses in and around the town centre will now struggle due to not being able to bank on their doorstep.”

The community pop-up will be open between 9.30am and 1.30pm to support RBS customers with any queries about their banking service, as well as frauds and scams.

Staff will also help customers access and use NatWest's digital services, as well as signpost them to other local in-person banking facilities, such as the day-to-day banking services offered at local Post Offices and local free-to-use cash machines.

However, community pop-ups are cashless, so customers wishing to withdraw money or cash a cheque will still need to travel almost five miles to the Paisley Chief Office, in Moncrieff Street.

“Having a bank van visit one day a week is hardly any good when businesses operate every day," added Councillor Doig.

"This will now put local traders under more strain and increase security risks for them as they will, of necessity, have to keep larger amounts of cash on their premises.

“It is a disgusting lack of a service from a publicly-owned bank which is letting the Johnstone business public down.”

Councillor Chris Gilmour said: “I am very disappointed that RBS has decided to pull out of Johnstone.

“Many people still are not comfortable with internet banking and small businesses still use the after-hours banking service.

"It appears yet again that the most vulnerable in society will be affected by this closure.

“Additionally, the removal of the cash dispensing machines reduces the availability of obtaining cash charge-free outside normal banking hours.

“There are another two free-to-use cash machines at the Bank of Scotland. My point is that, after normal business hours, people seeking cash or banking cash, small businesses will be limited to the one bank.

“Any reduction in service is not a good thing. Also, existing customers who do not internet bank will have to travel outside Johnstone to bank.

“They may just spend their money at that location, as opposed to spending it in Johnstone.”

It is understood that, between 2019 and 2022, counter transactions for personal customers at the Johnstone branch fell by 55%.

A guide published by RBS to explain the reasons for closure states: “With the ease of mobile and digital banking, fewer people are coming into the bank.

“This means we’ve had to make some tough choices about which can stay open.

“So, we want to make sure that we keep the branches people are using most.”