ROYAL Bank of Scotland is to close 162 branches in England and Wales, with Worcester one of the businesses facing the axe.

The group has branches in close proximity to each other and is seeking to reduce overlap, resulting in 792 job losses.

The Worcester branch in St Nicholas Street is expected to close on August 29.

The lender, still 72 per cent owned by the taxpayer, said the move was linked to it not having to sell its Williams & Glyn business.

An RBS spokesman said: "Following a review of the branch network in England and Wales a decision has been taken to close 162 Royal Bank of Scotland branches.

"As a result of this process, around 792 roles will be made redundant, and we will seek to support our colleagues with the option to leave on a voluntary basis."

Last year, RBS avoided the compulsory sale of Williams & Glyn, which had been ordered by regulators as part of the bank's obligations under state aid rules following its £45 billion Government bailout at the height of the financial crisis.

Instead, RBS will put up money to be shared among so-called "challenger banks" to help them better compete with bigger players.

The closures will come as RBS reintegrates Williams & Glyn, including its branch network, back into the core bank.

A total of 109 branches will close in late July and August 2018. These branches are within 0.6 miles of another Royal Bank of Scotland or NatWest branch, the group said.

A further 53 branches will close in November 2018, all of which are between 0.6 and 2.5 miles of another Royal Bank of Scotland or NatWest branch.

RBS also pointed out that since 2014, branch transactions across its English and Welsh operations are down 30 per cent, while there has been a 53 per cent increase in the number of customers using mobile banking, and mobile transactions have increased by 74 per cent.