Westpac's Bold Move to Strengthen Business Lending

Westpac plans to replace a substantial number of in-branch tellers with business bankers, transforming its branches into hubs for business banking. This restructuring is expected to cost approximately $200 million over the next three years. The bank will also introduce 'concierges' in branches to assist customers with digital banking services, reflecting a commitment to integrating technology with personalised service.

Central to this strategy is the launch of 'BizEdge,' an AI-powered business lending origination platform designed to expedite loan approvals. This platform is part of Westpac's broader initiative to streamline processes and provide faster, more efficient services to business clients.

Interim results from May indicate that these efforts are yielding positive outcomes, with business lending increasing by 14% compared to the first half of 2024. This growth significantly outpaces the bank's total loan growth of 5%, highlighting the effectiveness of the new focus on business lending.

Westpac's aggressive push into the business lending sector underscores the competitive landscape among Australian banks, as they vie for a larger share of the SME market. This strategic realignment positions Westpac to better meet the evolving needs of business customers through enhanced digital capabilities and dedicated support.