US banks start off 2022 with 165 net branch closures in January

After record-breaking branch closures in 2021, U.S. banks and thrifts opened 53 branches and permanently closed 218 in January, leaving 80,739 active branches as of Jan. 31, according to S&P Global Market Intelligence data.

The number of closures marks a slowdown when compared to the trailing 12-month average, which stood at 317.8 through January. By the same measure, the openings were also slower in January as the industry on average added 87.9 new branches during the last 12 months.

In total, over the last 12 months, the industry closed 3,813 branches and opened 1,055.

JPMorgan Chase & Co. was the largest net opener in January with two new branches, while closing none. In December 2021, JPMorgan was the largest net closer.

Fifth Third Bancorp was the largest net closer in January with 42 closings and no openings after being the largest net opener in December 2021. Bank of America Corp. and Wells Fargo & Co. followed Fifth Third with 30 net closures each.

Fifth Third opened 26 branches and closed 53 branches over the last 12 months.

The Midwest region saw the most net closures in January at 52, followed by the mid-Atlantic region at 51. The Southeast region bucked the trend last month with three net openings.

At the state level, New Jersey, Ohio and California had the most net closures in January at 19, 18 and 15, respectively. Arkansas, Texas, and Tennessee saw the most net openings at four, three and two, respectively.

Click here to access a template containing bank branch openings and closings for January 2022.