Bankwest is an Australian bank based in Perth, Western Australia. It was founded as the Agricultural Bank of Western Australia in 1895 by the Government of Western Australia being renamed the Rural and Industries Bank in 1944, and Bankwest in 1994 before being privatised. After a period of being a listed company on the Australian Securities Exchange, it was taken over by the Bank of Scotland, and since 2008 has been a subsidiary of the Commonwealth Bank.
 | |
| Formerly | Rural and Industries Bank Agricultural Bank of Western Australia |
|---|---|
| Company type | Subsidiary |
| Industry | Financial services |
| Founded | 1895 |
| Headquarters | Bankwest Place, Perth, Western Australia |
Area served | Australia |
Key people | Jason Chan, Executive General Manager |
| Products | Home loans Transaction accounts Savings accounts Term deposits Credit cards |
| CA$778 million (US$622.4 million) (2016) | |
| Parent | Commonwealth Bank |
| Website | www |
Having expanded into the Eastern states in the 1980s, it closed the last of these branches in October 2022. The remaining 60 branches in Western Australia will be closed by the end of 2024 with 15 being converted to Commonwealth Bank branches. Bankwest will then become an online bank only.
History
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Agricultural Bank era
editIn 1895, the Government of Western Australia established the Agricultural Bank of Western Australia as a rural lender to support the state's farming industries.[1] Despite its name, it was not a bank, as it did not accept deposits from the public, its liabilities being government bonds. It was a government instrumentality that lent exclusively to farmers.[2][3]
Rural & Industries Bank era
editOn 1 October 1945 pursuant to the Rural and Industries Bank Act 1944, the Agricultural Bank changed its name to the Rural and Industries Bank of Western Australia becoming a full trading bank.[4][5] This enabled it to expand its retail and commercial banking services throughout the state. Its headquarters were at the former Agricultural Bank headquarters at 555 Hay Street, Perth.[3][6]
In 1956 it became a savings bank.[7] In March 1961, its headquarters moved to a purpose building in Barrack Street. In 1973, a 45% shareholding in Perpetual Finance Corporation was purchased increasing to 100% in 1978. A major shareholding in the Town & Country Permanent Building Society was also purchased in 1973.[3]
In 1985, the first interstate branch was opened in Sydney.[2] In June 1987, the Primary Industry Bank of Australia became a subsidiary.[8] In August 1987, the Teachers' Credit Society was taken over in a bailout.[9][10] In 1988, the headquarters moved to 108 St Georges Terrace, which was the tallest building in Perth at the time.[3]
Bankwest era
editThe bank was incorporated in 1990, and in 1994 changed its name to the Bank of Western Australia with the trading name Bankwest, in preparation for privatisation.[11] In December 1995, the Bank of Scotland acquired the bank, and as part of the sale agreement, offered 49 per cent of the shares in Bankwest to the public.[12][13] Bankwest was listed on the Australian Securities Exchange (ASX) on 1 February 1996.
In May 2001, Bank of Scotland merged with Halifax to form HBOS.[14] In August 2003, HBOS completed a successful takeover offer for the shares it did not own with Bankwest delisted from the ASX.[15][16]
In 2003, Bankwest acquired API Finance from Australian Pharmaceutical Industries for $300 million in line with its industry specialisation growth strategy in the business banking segment.[17]
In October 2006, Bankwest announced it would move its headquarters from 108 St Georges Terrace to 300 Murray Street.[18][19] After lengthy delays, the move occurred in September 2012.[20] Bankwest's lease expires in 2031.[21]
In September 2008, Bankwest was included in the sale of HBOS to Lloyds TSB.[22] The following month, with significant problems of its own during the 2007–2008 financial crisis, Lloyds TSB agreed terms to sell Bankwest to the Commonwealth Bank for $2.1 billion.[23][24] The sale was completed in December 2008.[25][26]
Bankwest's business banking operation was closed and its customers moved to the Commonwealth Bank, sparking a senate inquiry.[27]
In February 2022, Bankwest announced it would stop offering business products and services and eventually shift existing business customers to the Commonwealth Bank.[28]
Branch closures
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In July 2018, Bankwest announced plans to close 29 branches in New South Wales, Victoria and Queensland citing that an overwhelming number of its customers were choosing to bank online.[29] In October 2022, Bankwest closed all its east coast branches.[30]
In March 2024, Bankwest announced that it will close all remaining 60 branches and automated teller machines (ATMs) by the end of 2024 and become a digital bank.[31][30] Fifteen regional branches will be converted to Commonwealth Bank branches and 45 closed.[30][31][32] Cash transactions will be available via other banks' ATMs and Australia Post.[30][33]
Sponsorships
editBankwest was naming rights sponsor of the Fremantle Football Club in 2004 and 2005.[34]
In 2018, Bankwest signed a seven-year contract to be the naming rights sponsor of Western Sydney Stadium.[35] However, after only three years, the contract was taken over by the Commonwealth Bank and the stadium rebranded CommBank Stadium.[36]
See also
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References
edit- ^ The claim that it was the first state/colony government entity of its type made in 1906 in an eastern states newspaper "Agricultural Bank". Bundarra & Tingha Advocate. Vol. 6, no. 305. Bundarra. 27 October 1906. p. 2. Retrieved 6 March 2024 – via National Library of Australia.
- ^ a b Our journey Bankwest
- ^ a b c d Spillman, Ken (1989). Horizons: A History of the Rural and Industries Bank of Western Australia. University of Western Australia Press. ISBN 0-85564-304-8.
- ^ "Rural and Industries Bank Act 1944 (No 51 of 1944)". Classic.austlii.edu.au. Retrieved 6 March 2024.
- ^ "Rural & Industries Bank". The Wagin Argus And Arthur, Dumbleyung, Lake Grace Express. Vol. XXXI, no. 2079. Western Australia. 25 October 1945. p. 4. Retrieved 6 March 2024 – via National Library of Australia.
- ^ Rural and Industries Bank of WA The Weekly Gazette 19 October 1945 page 4
- ^ "Rural and Industries Bank Act Amendment Act (No 31 of 1956)". Classic.austlii.edu.au: 2. Retrieved 6 March 2024.
- ^ Appendix 2: Australian Banks 1980 to 1990 Reserve Bank of Australia
- ^ Rothmans improves profit by 14.5 pc to $60.58m Canberra Times 18 August 1987 page 18
- ^ The Deregulated Era Reserve Bank of Australia
- ^ R&I Bank Act 1990 Government of Western Australia
- ^ BankWest launches its public float Canberra Times 21 December 1995 page 17
- ^ Bank of Scotland lifts holding in BankWest to 55pc Australian Financial Review 17 November 1998
- ^ Halifax, BoS agree merger CNN Money 4 May 2001
- ^ Scots turn screws on BankWest Sydney Morning Herald 9 June 2003
- ^ HBOS - Bank of Western Australia Scheme of Arrangement become effective Bankwest 26 August 2003
- ^ "API and BankWest announce alliance" (PDF) (Press release). Australian Pharmaceutical Industries. 29 April 2003. Archived from the original (PDF) on 17 March 2012. Retrieved 21 March 2012.
- ^ BankWest's seismic shift in Perth Australian Financial Review 20 October 2006
- ^ Future murky for Raine Square as Bankwest, Coles mull exit WAtoday 1 April 2021
- ^ Thomas, Beatrice (21 September 2012). "Pioneering bank gets a new home". The West Australian. p. 14.
- ^ Charter Hall secures Bankwest lease renewal at its Perth headquarters Charter Hall 15 December 2020
- ^ Rescue: Lloyds pulls HBOS out of the fire with £12bn merger The Guardian 18 September 2008
- ^ "Commonwealth Bank of Australia to acquire Bank West and St Andrew's". Commonwealth Bank. 2008. Archived from the original on 12 October 2008. Retrieved 8 October 2014.
- ^ Bank of Western Australia (2008). "BankWest and St Andrew's sold to Commonwealth Bank". Archived from the original on 9 October 2008. Retrieved 9 October 2008.
- ^ ACCC not to oppose Commonwealth Bank of Australia's proposed acquisition of Bank of Western Australia Ltd Australian Competition & Consumer Commission 10 December 2008
- ^ CBA completes acquisition of BankWest and St Andrews Commonwealth Bank 19 December 2008
- ^ Senate inquiry into Commonwealth Bank over Bankwest is a slur on our biggest bank Australian Financial Review 1 December 2015
- ^ "Bankwest surrenders business brand to CBA, zeroes in on retail-focused tech transformation". FST Media. 23 February 2022. Retrieved 5 May 2022.
- ^ Yeates, Clancy (18 July 2018). "Bankwest to close 29 east coast branches, cut 200 jobs". Sydney Morning Herald. Retrieved 28 July 2018.
- ^ a b c d "Commonwealth Bank subsidiary Bankwest to close all 60 branches across Perth and Western Australia". ABC News. 6 March 2024. Retrieved 6 March 2024.
- ^ a b "Bankwest branch closure information". Bankwest. Retrieved 6 March 2024.
- ^ Bankwest called upon to face parliamentary committee after branch closure announcement News.com.au 7 March 2024
- ^ "Ways to bank with us". Bankwest. Retrieved 6 March 2024.
- ^ BankWest increases support Fremantle Football Club March 2004
- ^ Bankwest secures naming rights to Western Sydney Stadium Infrastructure NSW 5 December 2018
- ^ Bankwest Stadium becomes CommBank Stadium as CBA secures naming rights Mumbrella 21 September 2021
External links
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Media related to BankWest at Wikimedia Commons