Hexham could get a new community banking hub after Lloyds and Halifax closures

Hexham could regain a face-to-face banking service after NE First Credit Union revealed plans for a new town service point following the closure of Lloyds and Halifax branches.

The member-owned, not-for-profit financial co-operative is considering a physical base in Hexham, with No. 28 Community House on Derwent Road among the locations under discussion. The organisation hopes to open a hub within the next 12 months, although plans have not been finalised.

NE First offers savings accounts, affordable loans and payroll-deduction schemes. It says a local service point would help residents who prefer dealing with people in person, use cash or struggle to access digital services.

Why a service point is being considered

The proposal follows what the source describes as a series of high-street bank closures in the town. Lloyds and Halifax branches closed in November 2025, while HSBC remains open in Hexham.

Residents can also access some banking services through a Lloyds “community banker” at Hexham Community Centre on set days, the Post Office and building societies including Skipton and Newcastle. However, the closures have significantly reduced the town’s banking options.

NE First’s plans have also followed the recent merger of Northumberland Community Bank, formerly Tynedale Community Bank, with NE First. Existing members and payroll partners from the former community bank have joined the organisation.

Kai Rodriguez, NE First’s community business development and marketing executive, said a physical service point was particularly important in a town where some people may find it difficult to travel to access their finances. He said the credit union was intended for everyone, rather than a particular group.

“With the high street banks shutting left, right and centre, especially in places like Hexham where it's not exactly easy for some people to get from A to B to access their finances, having a service point here is definitely needed.”

Rodriguez said the credit union could keep money within the local community while offering residents an accessible and ethical alternative to mainstream banking.

“A credit union is a great way not only to keep money local and within the community and help the local economy, but also to give people the option to use accessible, ethical finance.”

How the Hexham hub could operate

The proposed service point would be expected to provide the same core assistance available online or through a branch, with staff or volunteers on hand to guide customers. Rodriguez said service points were mainly used for savings, but could also support people who wanted to deal in cash.

“We know some people just aren't tech‑savvy, so we've tried to keep the human element. We keep service points so people aren't digitally excluded and can still deal in cash if that’s what they're comfortable with.”

A potential Hexham branch would likely be run by volunteers and open on set days each week. Its hours would be shaped by local demand, according to Rodriguez, who said the organisation was working towards a firmer plan and dates.

NE First business development officer Martin Johns said a similar two-year project in East Durham had signed up more than 700 new members and created eight service points.

Support for community banking

Councillor Suzanne Fairless-Aitken, who has campaigned for a different approach to local banking, welcomed the prospect of NE First returning to Hexham. She said residents had been left feeling abandoned by decisions made by distant corporations.

“For too long, our beautiful market town has been at the mercy of distant corporate decisions, leaving too many Hexham residents feeling abandoned on the high street and taken for granted.”

She described the potential return of NE First as a major community development and argued that spending locally could help independent shops and protect vulnerable residents from being priced out of the town.

“When we invest locally, that wealth stays right here to circulate in our independent shops, and shield our vulnerable residents from being priced out of their own town.”

Fairless-Aitken has referred to the 1946 fictional film It's a Wonderful Life when discussing ethical community banking. She said the model reflected ideas of faith, decency and looking after neighbours, while stressing that the proposed Hexham service still needs a more detailed plan before opening dates can be confirmed.