Dutch banking and financial services group ING has unveiled its plans to exit from the retail banking market in France.
The move, which could affect 460 jobs, is part of the company’s strategic review that was announced in June this year. ING will continue its Wholesale Banking operations in the country.
The bank has informed the affected employees in France about the strategic review.
With regard to the affected employees, it has signed a social plan with local unions, which is subject to approval from the French Ministry of Labour.
ING claimed that it aims to support its retail banking customers in France, as it exits the market, and is currently in talks with third parties, seeking agreement for its client portfolio.
ING banking management board member, retail banking and challengers and growth markets head Aris Bogdaneris said: “We continuously evaluate our activities, including assessing whether they are likely to achieve the preferred scale in their market within a reasonable time frame.
“In this context we have decided to exit the French retail market, sharpening the focus of our business portfolio on where we can better scale.”
ING has been present in the French retail banking market since 2000, which currently serves around one million customers in the country.
It offers current accounts, mortgages, consumer lending and investment products, through its workforce of around 700 employees.
Two-thirds of its employees work in its Retail Banking operations, said ING.
The company will book a restructuring provision in its results for the fourth quarter of 2021, in connection with the current announcement.
Earlier this month, ING has invested in British fintech Thought Machine, which raised $200m in a funding round that values the company at more than $1bn.
Thought Machine provides banks, struggling to modernise legacy IT infrastructures, with a modern, cloud-native banking platform as an alternative.
