Santander UK has announced restructuring programmes across its business, involving salary freezes and reported plans to cut more than 2,000 jobs. If your role is affected or placed at risk, understanding the statutory redundancy process and your employment rights under England and Wales law is essential.
What has been announced
- On 21 May 2025, Santander UK announced job cuts and salary freezes as part of a restructuring programme within its commercial banking division.
- On 1 August 2025, reports indicated that Santander UK is cutting more than 2,000 jobs as part of an ongoing restructuring programme across its operations.
- Specific locations and office sites affected by the job cuts have not been stated in the public announcements.
About the company
Santander UK is a major financial services institution operating across retail, commercial, and corporate banking sectors in the United Kingdom.
The bank employs staff across corporate operations, branch networks, and commercial banking divisions throughout the UK.
What happens next
Under UK employment law, when an employer proposes to make 100 or more redundancies at one establishment within a 90-day period, collective consultation must last at least 45 days before any dismissals take effect.
Where between 20 and 99 redundancies are proposed, the minimum collective consultation period is 30 days.
During collective consultation, staff representatives or union officials consult with management on ways to avoid dismissals, reduce the number of affected staff, and mitigate the impact.
Individual consultation meetings must also take place to discuss selection criteria, scoring, and any available alternative employment within the organisation.
Voluntary or compulsory redundancy
Santander UK may offer staff the opportunity to apply for voluntary redundancy before moving to compulsory selection.
Voluntary redundancy packages may provide enhanced terms compared to statutory redundancy pay, although acceptance of an application remains at the employer's discretion.
If compulsory redundancies become necessary, the employer must apply objective, non-discriminatory selection criteria to determine which roles are placed at risk.
Your settlement agreement
Employees leaving through voluntary redundancy or negotiated departures may be offered a settlement agreement.
A settlement agreement is a legally binding contract under which an employee agrees to waive potential employment claims in exchange for agreed financial terms, often including an enhanced severance payment.
To make the agreement legally valid under England and Wales law, you must receive independent legal advice on the terms and effect of signing.
Employers typically provide a financial contribution towards your legal fees to obtain this independent advice.
Common questions
What is statutory redundancy pay and who qualifies?
To qualify for statutory redundancy pay, you must have at least two years of continuous service with your employer. The statutory amount depends on your age, length of service up to a maximum of 20 years, and weekly pay, which is capped at statutory limits.
What consultation period applies to these redundancies?
Because Santander UK has reportedly planned more than 2,000 redundancies across its operations, any single site proposing 100 or more redundancies is subject to a mandatory 45-day minimum collective consultation period before dismissals take effect. If between 20 and 99 redundancies are proposed at a site, the minimum period is 30 days.
Do I have to sign a settlement agreement if offered one?
No, you are under no legal obligation to sign a settlement agreement. If you decline, you retain your right to complete the redundancy consultation process, receive any statutory or contractual redundancy entitlements, and preserve your ability to bring employment claims if the dismissal is unfair.
How Deen & Co helps
Deen & Co Solicitors provides independent legal advice to employees facing redundancy, restructuring, and settlement agreement offers under England and Wales employment law. We review agreement terms, advise on whether severance packages are fair, and guide staff through consultation rights.
Read more about settlement agreement advice or work out your statutory redundancy pay.
Sources
- Santander UK cuts over 2,000 Jobs amid restructuring - Retail Banker International — Retail Banker International (1 August 2025)
- Santander UK freezes salaries and cuts jobs in commercial banking restructure - FStech — FStech (21 May 2025)
Last updated 9 September 2026. This page summarises publicly reported information and is general guidance, not legal advice on your own situation.
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