Bank of Ireland to deploy 500 staff to help customers switch from Ulster Bank and KBC

The number of its new current accounts has already climbed by over 80% from a year ago, Bank of Ireland said.

Bank of Ireland said it will have a total of 500 staff to meet the "unprecedented" demand for new accounts as Ulster Bank and KBC ramp up their plans to withdraw completely from banking in the Republic. 

The number of its new current accounts has already climbed by over 80% from a year ago, the lender said, but it again warned that utility companies, telecom providers, and other firms will also need to help with the switch over.   

Ulster Bank, the third-largest general lender, and KBC, a major mortgage bank, announced last year they would exit banking in the Republic. The closures mark a further lessening of competition and a boost for the existing dominant lenders, Bank of Ireland, AIB, and Permanent TSB.

The Competition and Consumer Protection Commission has launched in-depth investigations into a number of deals struck between some lenders and the owners of Ulster and KBC. Consumer advocates have also long warned that processes to deal with customers switching accounts are not adequate to meet the exceptional volumes. 

For its part, Bank of Ireland said it had already deployed 350 of the 500 staff to help new customers open and switch salary payments and direct debits. The facilities include a dedicated phone line and standard payment instructions for customers.  

"In order to minimise consumer inconvenience, managing the changing of large numbers of accounts will therefore require the ongoing engagement of the wider business community as their customers prepare to change their bank account provider," Bank of Ireland said.