The bank without big bonuses expands again

Analysts say Handelsbanken, which dates from 1871, has done better than many of its rivals because it doesn't award large bonuses and relies on a network of decentralised local branches.

It opened a branch in York last week and its Leeds branch is preparing to move to larger premises.

It also has branches in Bradford, Doncaster, Grimsby, Halifax, Harrogate, Huddersfield, Hull, Scarborough, Sheffield and Wakefield.

Steve Hill, the branch manager of Handelsbanken in Leeds, said: "When we opened the branch in Leeds nine years ago, we were the fifth branch in the UK – we have now got 71 branches.

"The UK is Handelsbanken's biggest expansion market. We have got branches in major cities and some of the towns and we are looking to fill gaps in the market, throughout the UK, including, of course, Yorkshire.

He added: "Handelsbanken has been around for 130 years and is conservative with a big 'C'.

"The capital position is robust with very little reliance on external sources. It's a model based on decentralisation.

"It gives you authority and gives you responsibility as well.

"We pay people well, without bonuses, and don't believe in setting quantitative targets."

From next week, Handelsbanken's Leeds branch will move from its current home in Wellington Street, to the ninth floor of West One, which is also on Wellington Street.

The Leeds branch is also taking on an extra member of staff, taking the total employed there to 12.