Banking blow to regional Australia
The nation’s largest community bank has closed branches and cut off a scheme that has supported local enterprises.
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Bendigo Bank has announced the closure of 10 regional branches, sparking concerns among older Australians – particularly those who prefer face-to-face banking and cash transactions.
The closures come soon after the bank ended its long-running Connected Communities program, which since 2004 had supported hundreds of local enterprise groups across Australia.
The program returned more than $18 million to community groups but was discontinued on 1 February 2025 following a business review.
Groups relying on this funding have reportedly struggled to stay afloat. One regional news report said final payments were made in February and “groups that have not found alternative funding sources have since folded”.
For many older Australians in smaller towns, the bigger blow has been the loss of local branches.
Esme Rash, from Yarram in Victoria’s South Gippsland region, told the ABC she now faces a two-hour round trip to access banking services after her local branch shut its doors.
“You need a bank,” Esme, 94, said. “The bank is the backbone of any small town, and we’ve been lucky to have Bendigo Bank, but now they’ve cut us off. There are a lot of people here who are very upset.”
National Seniors Australia CEO, Chris Grice, said many older Australians would find these closures difficult.
“I could understand if they shut down the community banking program to maintain branches in regional and rural communities,” he said. “But they appear to be doing both now.”
In a statement to NSA, a Bendigo Bank spokesperson confirmed the Connected Communities program had ended but highlighted the bank’s continued commitment to local projects.
The spokesperson noted that Bendigo’s Community Bank model delivered a record $50.2 million for community initiatives in the past financial year – funding more than 9,300 projects nationally.
Regarding the branch closures, the bank said the decision followed “a review of evolving customer preferences, a reduction in business activity, and an increase in cost”, adding that it still operates Australia’s second-largest regional branch network.
“We believe we do more to support face-to-face banking than any other bank and we apologise to customers for any inconvenience,” the spokesperson said.
Related reading: Australian Rural and Regional News, ABC News
