Santander Germany to cut 500 jobs and exit mortgage business

Leading Spanish bank Santander has announced plans to exit the mortgage business in Germany.

The company confirmed on Wednesday that it plans to cut around 500 jobs in the country by 2026 in an effort to refocus its business on more profitable activities.

Despite recent stabilisation high interest rate rises have led Germany to undergo its worst downturn in home buying in decades, with mortgage lending slowing sharply as a result.

In comments to Reuters, a spokesperson for the bank said that it aims “to achieve the necessary reduction in roles through natural attrition, as well as voluntary and early retirement.”

Specifically, the reduction in staff will span across Santander’s entire German business, including its consumer bank. The company however said that the move would not see its 189 branch network close down any sites.

The bank currently has an outstanding mortgage loan book of around €2.5 billion in Germany.

Santander is not alone in reevaluating its approach to the German housing market. It’s largest competitor in the country Deutsche Bank has also announced hundreds of job cuts in an effort to streamline its mortgage business.



Share Story:

Recent Stories


Banking's GenAI evolution: Beyond the hype, building the future
In the first episode of a three-part video podcast series sponsored by HCLTech, Sudip Lahiri, Executive Vice President & Head of Financial Services for Europe & UKI at HCLTech explores how financial institutions can navigate the transformative potential of Generative AI while building lasting foundations for innovation.

Beyond compliance: Transforming document management into a strategic advantage for financial institutions
In this exclusive fireside chat, John Rockliffe, Pre-Sales Manager at d.velop, discusses the findings of Adapting to a Digital-Native World: Financial Services Document Management Beyond 2025 and explores how FSIs can turn document workflows into a competitive advantage.

Sanctions evasion in an era of conflict: Optimising KYC and monitoring to tackle crime
The ongoing war in Ukraine and resulting sanctions on Russia, and the continuing geopolitical tensions have resulted in an unprecedented increase in parties added to sanctions lists.

Achieving operational resilience in the financial sector: Navigating DORA with confidence
Operational resilience has become crucial for financial institutions navigating today's digital landscape riddled with cyber risks and challenges. The EU's Digital Operational Resilience Act (DORA) provides a harmonised framework to address these complexities, but there are key factors that financial institutions must ensure they consider.